Hi there, Haggard3.
I'll provide information about federal tax calculations for W-4 2020.
If only one employee shows the wrong calculation, I suggest checking the setup. Then, make sure the filling and the claim dependents are correct.
You use this article to check if QuickBooks and IRS calculation is matched: https://www.irs.gov/individuals/tax-withholding-estimator
Here's how to check the setup:
- Click the Employees menu.
- Choose Payroll Center. Then, select the Employees tab.
- Double click the name of the employee.
- Go to the Payroll Info tab. Then click the Taxes button.
- You'll be routed in the Taxes for (employee's name) page.
- Check the filling setup and the calculation of claim dependents.
For more details about Internal Revenue Services (IRS) rules for qualifying dependents, please check out this IRS article: https://www.irs.gov/publications/p501#en_US_2018_publink1000220868.
If there's a lot of employees affected, let's make sure that your QuickBooks software and payroll tax table is updated to the latest version. This is to ensure that the 2020 W4 updates are applied to your account. You can read through these articles for more detailed information:
Please know that you're always welcome to post if you have any other concerns. Wishing you and your business continued success.
