Why is this employee missing taxes in their paystub in Zenefits Payroll?

Zenefits Payroll relies on various information to determine the type and amount of taxes that an employee should have in each paycheck. There are four primary reasons why an employee might be missing a particular tax in their pay stub:

  • Wrong Home Address or Work Location: Zenefits Payroll uses the employee's work location and home address to determine which state taxes to withhold. If either address is inaccurate, Zenefits Payroll may not withhold the taxes you expect to see. See these instructions to update an employee's tax information in Zenefits Payroll.

  • Exemptions: Employees may be exempt from taxes for a number of reasons:
    • They provided a certain type of visa during onboarding, and may be exempt from paying FICA taxes.
    • They're a corporate officer (CEO, COO, President, etc.), and may be exempt from paying certain taxes.
    • They have one or more manually set exemptions. Learn more about setting exemptions in Zenefits Payroll.
  • Allowances and Filing Status: Employees who claim a sufficiently high number of allowances on their Federal or State W-4s may potentially have no withholding for either State or Federal income taxes. Try Paycheck City's paycheck calculator to determine whether an employee's number of allowances prevent income withholding.

  • Year-to-date Taxes: Employees who reach the Social Security wage base limit of $118,500 in a single calendar will cease to have Social Security taxes withheld for the rest of the year.

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