Federal taxes not being withheld from employee paycheck

I recognize the importance of having accurate tax information for your business, especially on your employee's payroll, CTC Ref. Let me point you in the right direction on how to get the federal taxes calculate on the paycheck. 

Before we proceed, allow me to share some of the reasons why federal taxes might not be withheld from your worker's paychecks:

• They're not meeting the taxable wage base. 
• They were set to Do Not Withhold (exempt) for federal and state income taxes in the employee setup.
  
  

Also, QuickBooks computes your paychecks based on the payroll information entered in your company. Federal withholding is calculated based on these factors: 

• Taxable wages
• Number of allowances/dependents
• Pay frequency
• Filing status
  
  

If the employee's details are correct, I recommend performing the solutions outlined in these articles to resolve the issue:

• Troubleshoot no unemployment tax withheld from a paycheck
• Troubleshoot no income tax withheld from a paycheck

When paying commission-based employees, make sure to follow federal and state laws. You'll have to contact your accountant, tax adviser, or agency to learn more about the regulations.

Also, hours need to be entered for Washington, Oregon, and Rhode Island in compliance with state regulations. You'll have to input the hours worked in the Regular pay field.

If you wish to manage the tax on the payroll item, consider paying the employee a commission on a separate paycheck. In case you'll have to add it to their regular paycheck, they'll be taxed just like their regular wages. Refer to this article for more in-depth information about the process: Pay your employees a commission. 

In the event, you'll have to set up another pay type to track the commission, let's open the worker's profile and add the item. Here's how: 

1. Navigate to the Payroll menu on the left panel in your company and select Employees.
2. From the list, click on the worker's name to see more details. 
3. In the Pay types section, click the Edit link.
4. Choose the pay types you wish to add:
   • Pay type ▼ for hourly, salary, or commission only. If your employee has multiple hourly rates, select Hourly 2 or Another hourly pay type. You can rename these hourly pay types.
   • Common pay types ▼ for overtime, holiday pay, bonus, or commission. 
   • Time off pay policies ▼ for paid time off like sick or vacation (Set up and track time off in payroll) to set up or change policies.
   • Additional pay types ▼ for other pay types like tips, reimbursement, allowances, or fringe benefits. 
5. Input the rates for each pay type.
6. Tap the Edit ✎ link next to the pay type. You can rename some of the pay types. 
7. Tap the Save button to apply the changes.

Once you run payroll, the pay type will appear on the Run Payroll page. Explore this reference to learn more about managing pay types in QBO: Add or change pay types.

In addition, utilize these resources to help streamline the process of handling payroll taxes and forms, and  setting up employee bonuses:

• Pay employee bonuses
• Set up QuickBooks Online Payroll to pay and file your payroll taxes and forms
  
  

Don't hesitate to reach out to me again if you have any more questions about payroll or need help navigating QBO. I'll be here to assist you further.