The Internal Revenue Service has released the 2018 tax withholding rates and these rates have been updated in Parnassus. Most employees will see an increase in their net pay starting with their next paycheck.
The new withholding rates reflect the changes made in the tax reform legislation that was passed in December. Some of these changes include the increase in the standard deduction, repeal of personal exemptions, and changes in tax rates and tax brackets. The revisions are aimed at reducing over and under federal tax withholdings.
The new withholding tables are designed to work with W-4 forms that employees already have on file. At this time, employees do not need to do anything, but it is recommended that employees review their current W-4 information. This information can be found on your latest payslip in Parnassus. The IRS will be releasing an online calculator in the near future for employees to use to help determine their W-4 withholding information.
For more information on the new IRS Withholding Tables, please visit the Frequently Asked Questions page at IRS Withholding Tables FAQ.
https://www.ithaca.edu/intercom/article.php/20180122130407599