North Carolina Payroll Instructions

North Carolina State Withholding Instructions

To enter state and federal withholding tax info for an employee in your Goldenseal company file, follow these steps:

1. Open the Payroll tab on the left, and choose Employees.
2. Locate the employee's record.
3. Click the Payroll Setup button.
4. Enter a Tax Package into the Tax Package field, depending on the employees average wages as compared to the state cutoff (see note below) and the employee’s W4 form. Choose Old W4 for pre-2020 forms. Choose New W4 Step2- if they did not check the box in step 2 of the new form. Choose Step2+ if they did check it.
5. Enter the employee's marital status into the Marital Status field.
6. Enter the number of federal dependents into the Federal Exemptions field.
7. Enter the number of North Carolina state dependents into the State Exemptions field.
8. Click OK.

North Carolina State Unemployment Tax Instructions

In 2021, North Carolina state unemployment insurance tax is based on the first $30,000 in wages for each employee (the cutoff jumped by $4000 from the previous year). The rate for a new company is 1.2%. After two years the SUTA rate is adjusted to between 0% and 6.84%, based on payroll, tax paid, timeliness of payments and UI benefits charged against the employer account.

To enter your North Carolina SUTA tax rate into the Goldenseal payroll software, follow these steps:

1. Choose Payroll Setup from the Costs menu, and choose Tax Items.
2. You'll see a list of Tax Items. Open the North Carolina SUTA item. HINT: If you don't see N Carolina SUTA in the list, you'll need to import your state's payroll info first.
3. Enter your percentage rate into the field to the right of Calculation method.
4. Enter the current tax cutoff amount into the dollar field to the right of First Adjustment.

North Carolina Marital Status

Enter the following choices into the Marital Status field for each employee account:

• Single- single employee with one personal exemption
• Married- married employee with two personal exemptions
• Dual Income- married employee with one personal exemption
• Head of House- employee claims Head of Family status
• Other- not used

State Tax Contacts

Website

Official State Lawn Ornament

Gerrymandered Congressional district line.