2026 Federal Tax Table Updates

The updates for the Federal tax table are effective January 1, 2026:

• Nonresident alien employee annual additional amount:

  • If the employee was first paid wages before 2020 and has not submitted a Form W-4 for 2020 or later: increases from $10,700 to $11,800.

  • If the employee has submitted a Form W-4 for 2020 or later or was first paid wages in 2020 or later: increases from $15,000 to $16,100.

• The percentage method‘s tax brackets were adjusted.

 

 

For more information, see the Federal Income Tax Withholding Methods: https://www.irs.gov/pub/irs-pdf/p15t.pdf

 

Arkansas 2026 Tax Updates

The updates for Arkansas are effective January 1, 2026: 

• The standard deduction increases from $2,410 to $2,470.

• The tax brackets for the percentage method have been adjusted.

 

 

For more information, see the State of Arkansas Withholding Tax Formula Method: Microsoft Word - Withholding Booklet 2015.docx

2026 California Tax Table Updates

The updates for California are effective January 1, 2026: 

• The annual low-income exemption threshold increases from $18,368 or $36,736 to $18,896 or $37,791, depending on the employee’s filing status and the number of allowances claimed.

• The annual standard deduction increases from $5,540 or $11,080 to $5,706 or $11,412, depending on the employee’s filing status and the number of allowances claimed.

• The value of the annual state allowance increases from $163.90 to $168.30.

• The tax brackets in Method B were adjusted.

 

Method B – Exact Calculation Method

Step 1

• Determine if the employee's gross wages are less than, or equal to, the amount shown in “TABLE 1 - LOW INCOME EXEMPTION TABLE.” If so, no income tax is required to be withheld.

 

Step 2

• If the employee claims any additional withholding allowances for estimated deductions on a DE 4 form, subtract the amount shown in “TABLE 2 - ESTIMATED DEDUCTION TABLE” from the gross wages.

 

Step 3

• Subtract the standard deduction amount shown in “TABLE 3 - STANDARD DEDUCTION TABLE” to arrive at the employee's taxable income.

 

Step 4

• Use "TABLE 5 - TAX RATE TABLE” for the payroll period and marital status to find the applicable line on which the taxable income is located. Perform the indicated calculations to arrive at the computed tax liability.

 

 

Step 5

• Subtract the tax credit shown in “TABLE 4 – EXEMPTION ALLOWANCE TABLE” from the computed tax liability to arrive at the amount of tax to be withheld.

2026 Hawaii Tax Table Updates

The updates for Hawaii are effective January 1, 2026: 

• The extra lump sum withholding allowance amount increases from $1,650 to $4,350.

• Tax brackets and percentage rates remain unchanged.

 

For more information, see the Booklet A Employer’s Tax Guide: https://files.hawaii.gov/tax/news/pubs/25BkltA.pdf

2026 Indiana Tax Table Updates

The update for Indiana is that the state income tax rate decreases from 3.00% to 2.95%.

 

2025 Q4 Michigan SUTA Electronic Filing

The Unemployment Insurance Agency (UIA) is transitioning to a new, modern system called MiUI, which will replace the existing Michigan Web Account Manager (MiWAM).

 

Beginning December 15, 2025, all Quarterly Wage Reports, including both past due and future filings, must be submitted through MiUI. These reports can be submitted starting the first day of each quarter and are due by January 25, April 25, July 25, and October 25 for the previous quarter.

 

The 72-byte MiWAM Wage Report File Format used for submitting Form 1028 will not be supported in the new system. Instead, MiUI will support a new file format option.

 

File formats accepted in MiUI for uploaded files must be the following:

 

• ICESA: https://www.michigan.gov/leo/-/media/Project/Websites/leo/Documents/UIA/Publications/MiUI-University/ICESA_File_Format_Employer_Reference_Document.pdf?rev=33dfba78d6954e798af07c13d9b15e7b&hash=74178A1D2F156CB00A84CDE2CFB66957

For more information, see the MiUI Resources for Employers and TPAs: LEO - MiUI Resources for Employers and TPAs

2026 Missouri Tax Table Updates

The updates for Missouri are effective January 1, 2026: 

• The state’s standard deductions have increased for all filing statuses.

• The tax brackets used in the percentage method were adjusted.

 

 

For more information, see the 2026 Missouri Withholding Tax Formula: https://dor.mo.gov/forms/Withholding%20Formula_2026.pdf

2026 Montana Tax Table Updates

The updates for Montana are effective January 1, 2026: 

• The top marginal rate decreases from 5.9% to 5.65%.

• The tax brackets used in the percentage method were adjusted for all filing statuses.

 

 

For more information, see the Montana Employer and Information Agent Guide: https://revenuefiles.mt.gov/files/Forms/Montana_Employer_and_Information_Agent_Guide_with_Tax_Tables.pdf

2026 Nebraska Tax Table Updates

The updates for Nebraska are effective January 1, 2026: 

• The annual state allowance increases from $2,360 to $2,440.

• The tax brackets have been adjusted, and the tax rate range decreases from 0% - 5.37% to 0% - 4.60%.

• The flat supplemental tax rate decreases from 5% to 3.5%.

 

 

For more information, see the 2026 Nebraska Circular EN: https://revenue.nebraska.gov/sites/default/files/doc/business/Cir_En_2025/2026cir_en_whole.pdf

New Mexico 2026 Tax Updates 

The update for New Mexico is that the tax brackets used in the percentage method were adjusted. 

 

For more information, see the New Mexico Withholding Tax Rates: Withholding Tax Rates : All NM Taxes 

 

New York 2026 Tax Updates

The update for New York is that the annual tax rate tables used in the exact calculation method (Method II) were adjusted.

For more information, see the New York State Withholding Tax Tables and Methods: Form NYS-50-T-NYS New York State Withholding Tax Tables and Methods Revised 1/26.

Oklahoma 2026 Tax Updates 

The update for Oklahoma is that the tax rate range for withholding methods decreases from 0% to 4.75% to 0% to 4.5%.

 

For more information, see the 2026 Oklahoma Income Tax Withholding Tables: 2026 Packet OW-2 Oklahoma Income Tax Withholding Tables.

Rhode Island 2026 Tax Updates 

The updates for Rhode Island are effective January 1, 2026:? 

• The tax brackets used in the percentage method were adjusted for all filing statuses. 

• The annual wage threshold above which the value of an allowance becomes zero increases from $283,250 to?$290,800. 

For more information, see the Rhode Island Employer’s Income Tax Withholding Tables: 2026 Withholding Tax Booklet.pdf.

South Carolina 2026 Tax Updates 

The updates for South Carolina are effective January 1, 2026:

• The value of state allowance increases from $4,860 to $5,000. 

• The maximum standard deduction increases from $7,300 to $7,500. 

• The tax brackets used in the percentage method were adjusted. 

• The highest rate decreases from 6.2% to 6.0%. 

 

For more information, see the Formula for Computing South Carolina 2026 Withholding Tax: WH1603F_3478.pdf.

Dashboards Performance Enhancements

Optimizations to Dashboards were applied to improve overall performance and stability.

Dashboards Performance Enhancements

Optimizations to Dashboards were applied to improve overall performance and stability.

Defect 2570500: When you used "DATEDIFF(day, GETDATE())" in a calculated field within dashboards, the calculation was not supported when it should be supported.

Defect 2570502: When you updated an employee with an ADP File Number outside the numeric range of 51 to 999999, the record failed to save, and validation prevented the update.

Defect 2557026: For long-running dashparts, the logfile that recorded timeout occurrences did not include the database name, which made it difficult to identify which database was involved when analyzing performance issues.

Defect 2558586: Expense Report tax details were inconsistently handled when an expense line’s category changed or when tax overrides were applied. This resulted in missing or incorrect tax amounts, duplicate tax detail records, and unsaved changes in scenarios that involved shared tax codes and override configurations.

Defect 2531317: When you ran the Cash Requirements Report with one vendor selected, an error occurred during report processing.

Defect 2513303: When you used the Today filter in the Timesheet Date field under My Stuff > Timesheet lookup search, an error occurred.

Defect 2562336: When you enabled ICR and entered an Invoice Number exceeding 20 characters, an error occurred stating that string or binary data would be truncated in the APApprovalMaster table.

Defect 2559415:
For customers who used the Default Role for Key Conversion option, if they attempted to disable Phases/Tasks via Utilities > Key Conversion, the process failed and returned the error:
Need to call setEntity first
This issue occurred specifically when using the Default Role.