State taxes are not calculating correctly in payroll

Description of Issue

My State tax deductions are not calculating correctly in payroll. 

Context
  • Munis
  • Deduction and Benefit Master
  • Employee Deductions
Cause

The 2020 or later W-4 checkbox was checked on the State Tax Deductions. 

Resolution

Uncheck the 2020 or later W-4 checkbox for all State Deduction codes. This box is only to be used for Federal Tax Deductions. 

  1. Go to Employee Deductions (Payroll>Employee Maintenance>Employee Deductions)
  2. Search for the State Tax Deduction codes. Click Accept. Click Update and uncheck the 2020 or later W-4 checkbox. Click Accept. 
    1. Repeat this step for all Employee Deduction records for State Taxes. 
  3. Go to Deduction and Benefit Master (Payroll>Payroll Setup>Deduction and Benefit Master)
  4. Search for the State Deduction codes. Click Update. Uncheck the 2020 or later W-4 checkbox. Click Accept. 
Additional Information

When the 2020 or later W-4 checkbox is checked it will ignore the Exemptions field on the Employee Deduction record when calculating the withholdings.Â