Changes to an employee’s tax profile reflect on the next pay period. If information is missing from any employees’ Tax Details page, this may affect their calculations and deductions.
United States
When you add a new employee to your payroll, enter their tax details using the Form W-4 they completed. Learn more about Form W-4.
- On the left-side menu, click Payroll > Employees.
- Click the name of the employee.
- Click Tax Details.
- Fill in the required details.
- Click Save.
When an employee works from another state, the employer portion of their taxes may differ from your state's amount. Learn how to enter your details in Update your business tax profile.
Canada
When you add a new employee to your payroll, enter their tax details using the federal and provincial or territorial TD1 forms they completed. Learn more about TD1 forms.
- On the left-side menu, click Payroll > Employees.
- Click the name of the employee.
- Click Tax Details.
- Fill in the required details.
- Click Save.
Wave automatically calculates applicable taxes, Employment Insurance (EI), Canada Pension Plan (CPP), and Second Additional Canada Pension Plan (CPP2) amounts based on the tax information you enter for your employee.
If your employee is exempt from CPP, click Change Status and enter an effective date. You can restart their contributions anytime. Learn how to mark an employee as exempt from CPP.