ForumsTaxes and Payroll

I'm assuming you are working with a third party payroll processor and they remit your payroll taxes to the proper tax agencies. The processor will usually first deduct the net pay (total net pay for all your employees) from your business checking. Then, they will deduct the employer and employee taxes from your bank account. Employer taxes would represent the employer's portion of social security/medicare taxes and federal and state unemployment taxes. The employee taxes represents the amount of payroll taxes withheld from your employee's paycheck (federal, social security, medicare, state, local and unemployment taxes (if applicate). In some situation, local taxes may not be deducted because they are remitted by the company on a quarterly basis.

Most payroll companies will provide you with a detailed accounting supporting the amounts taken from your bank account.

The net of all your employees should be the amount deduct from your payroll account.

You should also see separate deduction for the state and federal taxes deduct.

You also should ask your payroll provider for your payroll reports. I give all my clients payroll reports after I run their payroll so they can balance their check books.

Thank you,

Stacey
www.sptaxes.com