Override Supplemental Earnings for Employee claiming Exempt
How to Override supplemental earnings such as NQT payouts for an employee who claims exempt?
Currently when an employee claims exempt, all wage types are exempt from
tax withholding. However, based on Treasury code § 31.3402(g)–1, there
are some payouts, like NQT (nonqualified plan payouts) that should be
withheld at supplemental regardless of the employee's W-4 on file. Is there
a way we can override the exemption when these earnings are being paid?
Thank you!