Payroll Tax Summary
You can view a breakdown of your tax calculations and debits for each pay run by heading to the History & Reports tab of your online Payroll dashboard or Payroll app and selecting a pay run.
The Accounting Summary shows gross pay for all your employees (including regular hours, additional pay, etc). The combination of gross pay and employer taxes will help you quickly calculate your costs for running payroll for that pay period.
Bank Withdrawal Summary
The Bank Withdrawal Summary shows the total amount to be debited from your bank account for a specific run and provides a further breakdown of each debit. Depending on your employee’s payment method and your state’s tax requirements, you’ll see 2 or more debits every time you process payroll.
If you’re processing payroll via direct deposit for your W-2 employees, you’ll see a debit for the combination of your employees’ net pay and applicable taxes. If you only pay your employees via manual check, their net pay will not be debited from your account and will show at the bottom of the withdrawal summary. Taxes for this pay will only be included in the total debit.
The total amount to be debited from your linked bank account is shown in the Withdrawal Summary table. This debit includes:
- Net pay for direct deposits: The total net pay amount for all employees who are paid via direct deposit.
Taxes: Total amount of federal and state taxes withheld on this pay run. Clicking on this line will provide you with a breakdown of the total employer and employee taxes collected.
Taxes are further broken down by agency and when they’re due:
- Debited by IRS: This includes the employer and employee taxes for Federal Income Tax, Medicare, and Social Security. These taxes are debited directly by the IRS and will labeled as USATAXPYMT on your bank statement.
- Debited by Square for Tax Paid Monthly / Quarterly: This includes the quarterly Federal Unemployment Taxes, state-specific unemployment taxes and any state-specific taxes. Square collects these taxes and pays them on your behalf at the correct times throughout the quarter.
- Paid on Pay Date (if applicable): State taxes that are due each pay run.
Payroll Debit Date
Square Payroll makes separate debits for taxes based on the tax due date in specific jurisdictions. You can view a breakdown of your tax withdrawals in the History tab of your online Payroll dashboard.
Your payroll debit will be processed on the same business day payroll is processed – so you’ll generally see the first debit that same evening, or by the following morning.
IRS tax debits will typically appear in your bank account 2-3 business days after processing payroll and will be labeled as USATAXPYMT on your bank statement. The IRS has two deposit schedules for employment taxes – monthly or semi-weekly. To ensure timeliness of your tax payments, Square Payroll sends your payment information to the IRS on the more frequent semi-weekly payment schedule. After debiting your bank account, Square Payroll will remit your federal tax payments within three days of your pay date.
Because many banks are closed on holidays and weekends, if payroll is processed on a Friday or holiday you may not see the debit until the following business day.
Download Run Report
To download the payroll details for a single payroll run:
- Visit the History & Reports of your online Payroll dashboard.
- Select your pay period.
- Click Actions > Export to CSV to download a spreadsheet containing a breakdown of taxes and wages for that particular pay run.
Note: Custom reports are only available on a computer through the online Payroll dashboard and are not currently available for download through the Payroll app.