Payroll taxes too high how can I fix this?

Hi slackenSG,

Welcome to Community!  It's great to hear that you're using QuickBooks Online Payroll to pay your staff on time.  I'll be glad to show you how to adjust the Federal tax rate so the calculations are accurate!

In this situation, it's best to review the employee's TD1 information to ensure additional tax amounts aren't being deducted.  Here's how;

1. Open Payroll from the left menu and then Employees

2. Select the Employee name and then Edit employee

3. Scroll down to What are [Employee name] tax withholdings section

4. Click on the Edit ✎

5. Go to the Additional tax amounts that you want to deduct from each pay cheque and edit/delete the amount applied

6. Hit Done to save the changes

If you require additional assistance, please contact us so we can work with you directly and ensure you're on the right track with your work!

Let us know if you have any other questions.  We're always happy to help!