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Never Worry About Payroll Taxes Again

Paychex automates your entire payroll tax process—from calculating liabilities to filing returns—so you never miss a deadline or worry about accuracy. Our comprehensive service handles:

  • Federal, state, and local tax deposits
  • Quarterly and annual tax return filing
  • Real-time rate updates and compliance tracking

What You Can Expect With Paychex

Automatic Payroll Taxes

Your payroll taxes are automatically calculated and paid, eliminating complex, manual work.

Quarterly and Annual Filings

Paychex helps you stay on top of tax filing deadlines, reducing the risk of missed due dates and penalties.

Help Claiming Tax Credits

We’ll help you identify tax credits that can lower your costs and put money back into your business.

Multi-State Compliance

We help ensure compliance across state lines, simplifying payroll management for remote and multi-state employees.

Tax Services for Any Plan

Our Tax Credit Service is automatically included in most of our payroll and HR packages. Discover the plan that works best for you or add it on to your existing Paychex solution at no extra cost to you.

Paychex Flex package names
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Potential Tax Credits Your Business Can Benefit From

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Work Opportunity Tax Credit

You could be eligible for up to $9,600 per employee with WOTC. We handle:

  • Eligibility screening
  • Form preparation and filing
  • Compliance tracking and quarterly reporting
Two people working together

Location-Based Tax Credits

Potentially earn credits of up to $3,000 per employee annually based on where you operate. We manage:

  • Documentation
  • Year-end reporting
  • Compliance tracking
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Research and Development Tax Credits

Innovating ways to operate cheaper, greener, or faster? You may qualify for R&D tax credits. Common industries include:

  • Manufacturing
  • Engineering
  • Construction
  • Software development
A man installing solar panels

Additional Tax Credits

We also assist with:

  • Training incentives
  • State tax credits
  • Export credits for U.S.-made goods
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Why Businesses Trust Paychex for Payroll Tax Services

Accurate Tax Management

We automatically calculate, file, and pay your local, state, and federal payroll taxes — ensuring timely and precise compliance.

Stay Compliant

We create a well-documented, legally compliant audit trail to support your credits and help you avoid penalties from late or incorrect filings.

Only Pay for Tax Credits Found

Our tax credit service is free to use — you only pay when we successfully identify and secure credits for your business.

Administrative Relief

We handle the paperwork so you don't have to, giving you more time back and reducing the risk of costly mistakes.

How a Seasonal Business Stays Tax-Compliant Year-Round

"Having a seasonal business ... (a seasonal hold) is a beautiful fit. I tell them in October, there's a small charge to do my quarterlies over the winter and do my W-2s. Then come April, (Paychex) says, "Greg, are you ready to come back."

Greg Duffy Owner
1-19 Employees
SuperSeal Sealcoating Company

drone view of blue and red pickleball courts
Seasonal Business Needs a Service Provider for All Seasons
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Frequently Asked Questions

  • What Are Payroll Tax Expenses?

    What Are Payroll Tax Expenses?

    Payroll tax expenses are the mandatory costs businesses pay when hiring employees, including federal and state income tax withholdings, Social Security taxes, and Medicare taxes (also known as FICA taxes). These expenses cover both employer contributions and employee withholdings that must be remitted to tax authorities. Use our FICA Tip Calculator to estimate your potential tax contributions.

  • Does Paychex File Payroll Tax Returns?

    Does Paychex File Payroll Tax Returns?

    Yes, Paychex files payroll tax returns on behalf of employers who outsource their payroll services. Our automated tax filing service handles federal, state, and local tax returns—including quarterly and annual filings—ensuring accuracy and on-time submission to help you avoid penalties.

  • Who Is Responsible for Sending Employee Payroll Taxes?

    Who Is Responsible for Sending Employee Payroll Taxes?

    Employers are responsible for depositing and reporting employment taxes according to IRS and state tax authority deadlines. This includes withholding taxes from employee paychecks and remitting both employee and employer portions to the appropriate agencies. Paychex can handle these deposits and filings automatically when you use our payroll tax services.

  • How Do I Get My Tax Forms From Paychex?

    How Do I Get My Tax Forms From Paychex?

    Paychex clients can access their tax forms by logging into Paychex Flex®. Navigate to the "Tax Documents" section where you can view and download your W-2, 1099, or other tax forms.

  • How Do I Manage Multi-State Payroll Taxes?

    How Do I Manage Multi-State Payroll Taxes?

    Managing multi-state payroll taxes requires registering with tax authorities in each state where you have employees, tracking different tax rates and rules, and filing returns in multiple jurisdictions. For businesses with remote workers or staff across state lines, Paychex simplifies multi-state payroll tax compliance by automatically calculating state-specific taxes, handling registrations, and managing filings in all applicable states.

  • Can I Do My Own Payroll Taxes?

    Can I Do My Own Payroll Taxes?

    Yes, you can handle payroll taxes yourself, but the process can be complex and time-consuming. Managing payroll taxes independently requires staying current with changing federal, state, and local tax laws, calculating withholdings accurately, meeting strict filing deadlines, and maintaining detailed records for audits. Many businesses choose to outsource payroll taxes to ensure compliance, reduce the risk of costly penalties from errors or late filings, and free up time to focus on growing their business.

  • What Are the Types of Payroll Taxes?

    What Are the Types of Payroll Taxes?

    The main types of payroll taxes include:

    • Federal Income Tax – Withheld from employee wages based on W-4 elections
    • FICA Taxes – Social Security (6.2%) and Medicare (1.45%) taxes paid by both employers and employees
    • Federal Unemployment Tax (FUTA) – Paid by employers to fund unemployment benefits
    • State Income Tax – Withheld in most states based on employee elections
    • State Unemployment Insurance (SUI) – Paid by employers, with rates varying by state and claims history
    • Local Taxes – City or county taxes that apply in certain jurisdictions

    Employers are responsible for withholding employee portions, contributing employer portions, and remitting all payroll taxes to the appropriate agencies on schedule.

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