Edit Employee Taxes

Edit an employee's tax information.

If you need more information on ministerial taxes, read Publication 517. Employees fill out their federal and state tax information on their W-4s. Make sure these fields match your employee's W-4 as you enter their information.
  1. Click Accounting > Payroll > Employees.
  2. Click the ellipsis icon beside the employee you want to edit.
  3. On the Taxes tab, click Edit Tax Information.
  4. Select if you want to defer an employee's Social Security tax. This is optional to you as the employer, even if an employee requests deferral.
    CAUTION: You must confirm that you understand the following requirements and expectations set by the IRS:
    • Employers are not required to permit a deferral, even upon an employee's request, without reason.
    • Only wages of less than $4,000 per biweekly pay period qualify for deferral.
    • The deferral period is September 1 - December 31, 2020.
    • Employers must set up a plan for employees to repay the deferred amount ratably between January 1 and April 30, 2021.
    • Employers are responsible for collecting this repayment.
    • Employers must pay interest and penalties on amounts not collected by May 1, 2021.

    This is for informational purposes only and should not be relied on as tax, legal, or accounting advice. Please consult with legal and tax professionals before opting to defer taxes, and reference the official IRS website for more information.

  5. Select any necessary elections, and enter withholding.
  6. For ministers, if necessary, calculate the voluntary withholding amounts per paycheck, and enter the numbers.
  7. Once you're satisfied with your edits, click Save.