Ohio Payroll Instructions

Ohio State Withholding Instructions

To set up withholding information 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 the employee's marital status into the Marital Status field (see note below).
5. Enter the number of federal dependents into the Federal Exemptions field.
6. Enter the number of Ohio dependents into the State Exemptions field.
7. You probably will need to create a Tax Package for the employee's local tax rate, using one of the 400+ local taxes. See Local Tax section below.
8. Enter a Ohio Tax Package into the Tax Package field, based on 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. HINT: If you don't see Ohio packages in the list, you'll need to import 2022 tax info first.
9. Click OK.

Ohio State Unemployment Tax Instructions

In 2023, Ohio state unemployment insurance tax applies to the first $9,000 in annual wages for each employee-- a cutoff amount that has remained unchanged for many years. The rate for new companies is 5% for construction companies and 2.7% for others. After the first year the rate depends on the employer's experience rating-- the lowest rate is .4% and the highest is 11.3%.

To enter the Ohio SUTA tax rate into 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 Ohio SUTA item. HINT: If you don't see Ohio SUTA in the list, you'll need to import your state's payroll info first.
3. Enter your percentage rate into the percentage field to the right of Calculation method.
4. If the cutoff amount has changed, enter it into the dollar field to the right of First Adjustment.

Ohio Local Taxes

Ohio includes over 800 additional local tax withholdings for school districts, cities and villages. Starting in 2008, we provide each locality as a separate Tax Item. You'll need to set up a Tax Package for each locality or group of localities for which you need to collect taxes.

To set up a new local tax package, follow these steps:

1. Open the Payroll tab on the left, open Lists, then choose Tax Packages.
2. Click on one of the existing packages, and click the Duplicate button.
3. Put a checkmark next to each tax that is included in this package. Starting in 2021, you also need to worry about which W4 form the Employee uses.
4. Click OK.
5. Repeat steps 2 to 4 for each locality for which you collect taxes.

After you create the new payroll tax packages, assign them to each employee.

NOTE-- we try to keep up with changes in local tax rates, but there are so danged many of them! Please double-check rates for the localities that you use, and please inform us if any are incorrect.

Ohio Marital Status

Enter one of the following choices into the Marital Status popup field in 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

Football goal posts.