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August 24, 2022
Question

Employee Federal Tax Witholding on Pay Stub is $0.00?

  • August 24, 2022
  • 1 reply
  • 0 views

On employee pay stubs, Federal Tax withheld is $0.00.  
All employees claim "0" and are not exempt

 

I have contacted you twice regarding this issue to no avail.

 

Please advise.

1 reply

LieraMarie_A
August 24, 2022

Hi there, @AHP06.

 

Thank you for reaching out to us! I'm here to help you check why your employee has no federal withheld.

 

Do you know if these employees are meeting the wage bases set by the IRS? To understand minimum thresholds for federal withholding, check out IRS Publication 15-T.

 

If you're getting the same result, it's possible that their W-4 status has been set to 'Exempt' by mistake. Here's how to check it:

 

  1. Go to Payroll, then Employees.
  2. Select your employee.
  3. From Tax withholding, click Edit.
  4. Check the filing status under the Federal Withholding section.
  5. When finished, select Save.

 

You can check out this article for more information: Troubleshoot no income tax withheld from a paycheck.

 

Feel free to click the Reply button if you have other questions about calculating federal withholding in your employee’s paycheck. I’m always here to lend a hand.