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Feb 18, 2025 4:53 PM UTC
Question

Federal Income Tax withholding not enough

Not enough Federal income tax is being withheld from an employee. How do I fix this?

6 replies

BigRedConsulting
Feb 18, 2025 5:42 PM UTC

If you set the employee federal tax options up to match the W-4 the employee filled out and gave you, and the employee's pay period matches your pay frequency, then the proper amount will be withheld.

sm0429Author
Feb 19, 2025 1:07 PM UTC

Thank you for your reply. I double-checked, and his information is correct. He is single and paid semi-monthly, once at the beginning of the month (dates 16-30/31) and once in the middle of the month (1-15th). According to the IRS, he should have had almost $3400 deducted, but about $1,000 less was deducted. Any idea what else to look at?   Thank you in advance for your help. 

Apr 2, 2025 2:57 PM UTC

Did you ever get an answer for this? I have the same issue. My employee is paid on the 15th and last day of the month. She files single and 0. This is all correct in QBO but she had about $2200 less than the IRS tax table states she should have so she owes money now and is mad at me. I tried to chat with QBO but EVERY TIME, it says sorry are you still there even though I am replying and then they exit the chat like I am not there. This has happened on 4 different occasions over the last few months. I honestly am beginning to really hate QB.