2025 Payroll Tax Updates

Federal Tax changes (received 12/19/24):

• 2025 Federal withholding tax tables
• FICA Wage Limit change to $176,100

State Tax changes we have received (As of 05/14/2025):

Important notice for Iowa: The tax calculations for Iowa were updated to include marital status. Before running your first pay run of 2025, we recommend verifying the marital status entered for the Iowa Withholding in the Setup > Employees > Taxes tab. Check with the Iowa Department of Revenue for more details.

• Alaska ²
• Arkansas ¹
• California ^{1, 3}
• Colorado ^{2, 3}
• Connecticut ^{2, 3}
• Delaware ^{2, 4}
• Georgia ¹
• Hawaii ^{1, 2}
• Idaho ^{1, 2}
• Illinois ^{1, 2}
• Indiana ¹
• Iowa ^{1, 2}
• Kentucky ^{1, 2}
• Louisiana ¹
• Maine ^{1, 4}
• Massachusetts ³
• Michigan ^{1, 2}
• Minnesota ^{1, 2}
• Mississippi ¹
• Missouri ^{1, 2}
• Montana ^{1, 2}
• Nebraska ¹
• Nevada ²
• New Jersey ^{2, 3}
• New Mexico ^{1, 2}
• New York ²
• North Carolina ^{1, 2}
• North Dakota ^{1, 2}
• Oklahoma ²
• Oregon ^{2, 3}
• Rhode Island ^{1, 2, 3}
• South Carolina ¹
• Utah ^{1, 2}
• Vermont ^{1, 2}
• Washington ^{2, 3}
• Washington D.C. ³
• West Virgina ^{1, 2}
• Wyoming ²

If your state is not listed above, we have not received any information regarding tax table changes. Check back later for updated tax tables.

To verify your employee setup for Iowa:

1. Install the version 19.12 tax table update.
2. Select Setup > Employees.
3. Edit an employee and select the Taxes tab.
4. Select Iowa state withholding tax and verify each employee's 01/01/25 Tax Detail setup and select the appropriate marital status from their IA W-4.