Payroll Taxes Articles

The tax world is overflowing with funky-sounding acronyms, and FUTA might be the strangest one out there. You may be wondering, What is FUTA tax?

Withholding federal income tax from employee wages is a necessary (but tricky) part of running payroll. There is no standard amount you withhold from employee wages for federal income taxes. Instead, tax amounts are determined by factors like pay, Form W-4 withholding information, and filing status. But, what is filing status?

When you run a business, the word “taxes” might fill you with dread, especially if you have employees. You pay some employment taxes (e.g., unemployment), while others are taxes you deduct from your employees’ wages and pay on their behalf. One of the taxes you must withhold is federal income tax. So, what is it, […]

Withholding taxes from employee wages is all part of Payroll 101. But, what happens when an employee is exempt from withholding?

When you have employees, you are responsible for paying them but not before taking out some money for payroll taxes. The IRS, Social Security Administration (SSA), and state and locality (if applicable) all require payroll tax withholding.

Let’s face it: paying taxes isn’t anyone’s favorite part of running their own business. The process can be time-consuming and filled with confusing paperwork. But, what if there was a way to make paying your federal taxes simple and fast? The good news is that the IRS has an EFTPS system that does just that […]

You know there are deductions to take out of your employees’ paychecks. But, are they pre-tax vs. post-tax deductions? What do you withhold from an employee’s take-home pay? What are payroll deductions? Read on to learn the different deductions you have to take out of each employee’s paycheck.

Do your employees live in a different city than the one they work in? Does that city have local income tax? If so, you might consider implementing courtesy withholding to simplify your employee’s tax responsibilities.