I am trying to figure out how to edit my own payroll settings to withhold just a little bit extra from my check for taxes each month for 2020. I assume this would be handled on the "Pay Items" tab, but I can't find an option to add that matches what I want to do. I am sure this is an easy edit I am overlooking. Can someone show me what to change? Currently it looks like this. Thank you.
36 Secretary Income
99 Bonus Income
920 Employee SSI Tax Deduction
921 Employee MED Tax Deduction
940 Employer SSI Employer Liability
941 Employer MED Employer Liability
How to Withhold Extra for Taxes?
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Re: How to Withhold Extra for Taxes?
From that list of items, you aren't processing any Federal Withholding. So to withhold anything, or a little bit extra, the first thing you would need to do would be to add a Federal Withholding tax deduction item to your list of pay items.
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Re: How to Withhold Extra for Taxes?
Aha, I think that did it. I added a line called "900 Federal W/H Tax Deduction." The the Liability is set to the 941 Taxes Payable account and the Bank account is our checking account. I went through the process of cutting myself a check and it looks like if I had printed it the system would have pulled out the extra money.
So, when I go do do tax reporting a the end of the quarter and the end of 2020 am I correct in assuming that this money will be send to the government, will show up on my W2, and it won't affect the money that the church has to contribute?
Thank you so much for your help!
So, when I go do do tax reporting a the end of the quarter and the end of 2020 am I correct in assuming that this money will be send to the government, will show up on my W2, and it won't affect the money that the church has to contribute?
Thank you so much for your help!
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- Tech Support
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Re: How to Withhold Extra for Taxes?
Correct. That amount is an expense to the employee, not to the church. The payable amount comes out of your income.