Tax Deposit Frequencies

Payroll tax deposit frequencies refer to the intervals at which employers are required to deposit payroll taxes with the tax agencies. The deposit frequency determines how often these payments must be made to the Internal Revenue Service (IRS) or other tax authorities. The purpose of deposit frequencies is to ensure timely collection and remittance of payroll taxes. Deposit frequencies can vary by employer and agency depending on the liabilities and type of tax.

Though each agency varies in how to determine the deposit frequency for an employer, many agencies review the lookback period. The lookback period is a specific time frame used by the IRS or other tax agencies to determine an employer's tax deposit schedule for federal employment taxes like Social Security, Medicare, and federal income tax withholding.

Under the semi-weekly deposit schedule, employers must deposit payroll taxes multiple times a week. Specifically, employers who accumulate $50,000 or more in payroll tax liability during a lookback period are typically required to follow this schedule. The deadlines for depositing taxes depend on the day wages are paid:

Employers who accumulate less than $50,000 in payroll tax liability during a lookback period may be assigned to the monthly deposit schedule. Under this schedule, payroll taxes are deposited once a month, with deposits due by the 15th of the following month. For example, taxes for wages paid in January must be deposited by February 15.

Some small employers may qualify for the quarterly deposit schedule, which allows them to deposit payroll taxes four times a year. This schedule is typically available to employers with a very low payroll tax liability (usually less than $2,500 per quarter). Quarterly deposits are due by the last day of the month following the end of each quarter:

The annual deposit schedule is rare and usually reserved for employers with extremely low payroll tax liability. Employers who qualify for this schedule are typically allowed to deposit payroll taxes once a year, with the deposit due by January 31 of the following year.

In addition to federal payroll taxes, employers must also comply with state payroll tax deposit requirements. State tax deposit frequencies can vary significantly from state to state, and they typically depend on the employer's payroll tax liability and the size of the payroll. Common state payroll taxes include state income tax withholding, state unemployment insurance (SUI) tax, and other local taxes.

States often follow federal deposit timelines, or they may have their own guidelines and schedules for payroll tax deposits. Here are some examples:

Employers should consult their state’s tax agency for specific requirements and deadlines to ensure compliance with state payroll tax laws.

Under the "Taxes" Tab within Console each state will have the Deposit Frequency listed if it is a unique value. This means if the deposit is the same for all businesses, Check will not ask for the value. However, if the value is Employer specific, this can be filled in with the dropdown on each tax where applicable.

Not all values will show under each tax. Check will only surface the allowable frequencies for the specific tax. Example values from the dropdown: