Federal law requires employers to withhold social security tax from wages paid to an employee.
Federal and State Income Tax Federal and state income taxes are required by law to be withheld on every paycheck. The amount of the employee's withholding is calculated on the employee's gross salary, marital status and number of exemptions claimed on form W-4. The marital status and number of exemptions claimed in a pay period are stated on the employee's monthly remittance statement. Any employee wishing to change either of these categories may obtain a new W-4 from the Fiscal office. The form must be completed and submitted to the Fiscal office two weeks prior to the payday to be effective on that paycheck's calculations.