When determining state and local tax withholdings for employees, where they live, and how they're classified, has a direct impact on what taxes they owe, and how they're reported to the state. It's important to have the correct information for each employee to ensure all tax obligations are being met.
The following information must be accurate and up-to-date for every worker:
• Worksite address
• Home address
• SOC code
Worksite address
In the employee profile, hover over "Employment Options" to see the Worksite they're assigned to. If your company has multiple worksites, make sure every employee is assigned to the correct worksite.
- Company Worksites can be added and updated in the Company menu, under "My Company".
Home address
In the employee profile, hover over "Contact Information" to make sure their home address is correct. Click to add or change this address.
When typing an employee's address, a menu will drop down suggesting street addresses you may be typing. Always select an address from this list to ensure compliance with local tax obligations for each employee.
More about ensuring compliance when adding or updating addresses for employees and worksites→
State withholding details
The worksite and home address are used to determine what tax withholding information you need to enter for each worker, and how their wages are reported to the state. This information can be entered in their profile.
In the employee profile, click Tax Withholding.
Under "State Withholding", you'll find options specific to the state or states where local taxes apply for this employee.
When an employee's worksite is in a different state than their residence, you'll see withholding details for both states. This is to ensure compliance with all applicable tax jurisdictions.
Entering employee SOC codes (required)
The federal Standard Occupational Classification (SOC) coding system helps government agencies and private businesses compare occupational data using standardized job titles.
The state of Indiana requires employers to report SOC codes for each employee when filing quarterly unemployment insurance reports. In order for OnPay to file these reports on your behalf, you must select an SOC code for each employee. If any employee's SOC code is missing, the state will reject the filing.
Under Withholdings for each employee in Indiana, select the SOC code that best describes the employee's job from the list. You can also filter the list using key words.
You must enter an SOC code for every Indiana employee in order to include them in a pay run. This is a required field.
More info about Indiana SOC code requirements→
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