Payroll deductions are the specific amounts that you withhold from an employee’s paycheck each pay period. There are two types of deductions: voluntary deductions, such as health insurance and 401 (k) ...

Deductions from an employee’s or student’s wages will be in accordance with applicable law and with the individual’s consent, unless the deduction is as a result of a court or government order.

The One Big Beautiful Bill Act introduced a new deduction called No Tax on Overtime for the 2025 tax filing season.

New IRS Schedule 1-A for 2025 introduces 4 new deductions for tips, overtime, car loan interest and seniors. These changes could lower your tax bill.