Missouri Payroll Instructions

Missouri has state income tax withholding, with rates calculated from four tax tables that are similar to the "formula method" federal withholding tax tables.

Withholding tax tables changed in 2023, since they are indexed for inflation. The top rate also disappeared. As of 2018 there is a personal exemption, but no deduction for dependents. As of 2020, users must calculate a running total for all steps (we do that for you). Missouri formulas have changed in 28 of the past 33 years.

NOTE-- In 2006, the tax booklet switched from using weekly wage totals to annual wage totals in its calculations. Because of that the numbers are different, even though the actual withholding amounts did not change significantly. The top rate kicks in at $8449 in annual income, so pretty much everyone pays at the top rate.

Click here for more about our payroll accounting software.

Missouri State Withholding Instructions

To enter withholding information for an employee in your Goldenseal company file, follow these steps:

  1. Open the Payroll tab on the left, and choose Employees.
  2. Locate the employee's record.
  3. Click the Payroll Setup button.
  4. Enter the employee's marital status into the Marital Status field (see note below).
  5. Enter the number of federal dependents into the Federal Exemptions field.
  6. Enter the number of Missouri dependents into the State Exemptions field.
  7. Enter a Missouri Tax Package into the Tax Package field, based on the employee’s W4 form. Choose Old W4 for pre-2020 forms. Choose New W4 Step2- if they did not check the box in step 2 of the new form. Choose Step2+ if they did check it. HINT: If you don't see Missouri packages in the list, you'll need to import 2022 tax info first.
  8. Click OK.

Missouri State Unemployment Tax Instructions

In 2022, Missouri state unemployment tax applied to the first $11,000 of wages for each employee. The cutoff probably dropped to $10,500 for 2023 but check with the labor department first. The starting tax rate is 3.832% for construction businesses, and 2.7% for most other types of business. After the first year, the tax rate depends on your company's experience rating.

To enter your Missouri SUTA tax rate into Goldenseal payroll software, follow these steps:

  1. Choose Payroll Setup from the Costs menu, and choose Tax Items.
  2. You'll see a list of Tax Items. Open Missouri SUTA. HINT: If you don't see SUTA in the list, you'll need to import the Missouri payroll tax tables first.
  3. Enter the percentage rate that you pay into the percentage field to the right of Calculation method.
  4. If the cutoff amount has changed, enter it into the dollar field to the right of First Adjustment.

Missouri Marital Status

Enter one of the following choices into the Marital Status field in each employee record:

State Tax Contacts

Website

Official State Lawn Ornament

Pink plastic Gateway Arch (or two arches, for McDonald's fans).