Well, if a payroll item is not calculating correctly or if you’re getting QuickBooks Payroll not withholding taxes issue, then there may be a tickmark in the checkbox of an annual limit box and default limit where the employee has reached. Go through the below-listed steps to check if the annual limit is set or reached.
The initial step is to choose Lists and Payroll Item List from the top menu bar.
Now, hit right-click on the payroll item that you want to modify and click on Edit Payroll Items.
You must scroll down to the Next screen until you reach the Limit Type screen.
After this, verify that the box at the bottom is correct.
In case the limit is correct, the employee’s payroll should stop calculating at that limit.
Update the amount in case the limit is not correct.
Under Limit Type, check that you have chosen the right option.
Annual – Restart every year
Monthly – Restart every month
One-time limit
You can also change the default limit or Limit Type selection to suit your needs.
To end the process, tap on Finish.
