We'd really want to sort this out for you, bubu59.
As previously shared in the earlier replies, there are a couple of reasons why there's a zero amount for federal withholding. Most of the times, it's caused by:
- They are not meeting the taxable wage base
A good indicator of why income tax was not withheld from the employee's paycheck is to review their gross pay and tax status.
For example, if they are married, paid twice a month, and their gross for one paycheck is $300, most likely they’re not meeting the taxable wage base to have income tax withheld from their paycheck.
- They were set to Do Not Withhold for federal and state income taxes in the employee setup.
An employee’s preference should only be set to Do Not Withhold if they explicitly claim exemption from withholding on their Federal Form W-4 or any applicable state form.
Please review the employee profile to make sure that the withholding is calculated correctly. If the setup is already correct, please give us a call. Our Payroll Support Team will take a closer look at the paycheck and the employee setup as well to sort this out for you.
Follow the same steps that are shared above on how to reach out to our Payroll Support Team.
As always, visit us again in the Community if you need anything else.
