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How QuickBooks tracks disability insurance

If a state has an annual wage limit for disability insurance, QuickBooks stops computing the tax for an employee when the year-to-date gross wages subject to the tax reach the limit. If the state has a weekly limit for the tax (or taxable wages), QuickBooks stops computing the tax for an employee when the tax (or taxable wages) for a week reaches the limit.

When wage limits change, they are updated with tax table.

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