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Administrator Guide
Last Updated: 2025-05-30
Set Up Aggregate Federal Wages (USA)

Set Up Aggregate Federal Wages (USA)

If you have multiple
In Progress
on-demand additional payments, complete those payments so Workday can use them to calculate federal withholding taxes in subsequent calculations.
Security:
  • Set Up: Payroll Interface
    domain in the Payroll Interface functional area
  • Set Up: Payroll - Pay Group Specific
    domain in the Core Payroll functional area
To help you more accurately withhold workers' federal taxes, you can configure a run category to aggregate federal standard withholding wages across multiple completed pay results within the same period. Workday aggregates wages for all pay groups within:
  • The same company.
  • Different companies if they're in a company relationship.
You can't aggregate standard withholding wages for state or local taxes.
  1. Access the
    Edit Run Category
    task.
  2. In the
    Payroll Processing
    section on the
    General
    tab, select the
    Aggregate Federal Wages
    check box.
Workday calculates federal standard withholding taxes by:
  • Using the aggregated wages for the period.
  • Subtracting the taxes already withheld for the period from the calculated amount of tax withholding.
Recalculate your in-progress payroll results.