How to Determine Florida Payroll Tax
- 1). Find out from the W-4 form that the employee filled out how many exemptions were claimed. The monthly amount is $304.16 for 2010. Depending on how often you pay your employees, divide this amount by the frequency of pay. If the pay is semimonthly, then divide the amount by 2. The exemption amount is $152.08.
- 2). Multiply the exemption amount by the amount of exemptions the employee wrote down. Write down and deduct any salary deductions (described as pretax) such as 401K, health insurance or 403b deductions.
- 3). Record the amount remaining after the first two steps, this would be your taxable wages. Use Publication 15 from the IRS to calculate an employee's tax rate.
- 4). Take the taxable gross wages and using tables provided on page 39 for 2010, the IRS will tell you how much to deduct depending upon the frequency of pay and whether the employee is married or not. Deduct this amount from the taxable gross wages and this is the employee's net pay.
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