IRS Publication 15
Authoritative Statutory Source
Payroll Tax Deposit Schedule (Semi-Weekly vs Monthly)
IRS deposit schedule determined by employer aggregate 4-quarter lookback tax liability ($50,000 threshold).
Detailed Definition & Statutory Context
Payroll Tax Deposit Schedule (Semi-Weekly vs Monthly) is governed by IRS Publication 15 standards across corporate payroll administration, statutory tax withholding, and general ledger labor accounting. Rigorous compliance with Payroll Tax Deposit Schedule (Semi-Weekly vs Monthly) prevents IRS Form 941 deposit penalties and FLSA wage-and-hour litigation.
Statutory Formula & Equation
Semi-Weekly Rule = Required if Lookback Liability > $50,000 | Monthly Rule = <= $50,000
General Ledger / Payroll Journal Entry Standard
Debit: Gross Payroll Expense / Employer Tax Expense
Credit: FICA Taxes Payable / Federal Income Tax Payable / Net Pay Cash
Credit: FICA Taxes Payable / Federal Income Tax Payable / Net Pay Cash
Common Operational Pitfalls
- Excluding non-discretionary bonuses from FLSA overtime regular-rate calculations.
- Failing to cap Social Security tax withholding once employee earnings exceed the $168,600 wage base.
- Misclassifying non-exempt hourly employees as exempt salaried workers.