HR Glossary

What is Federal Tax?

US federal income tax withheld from employee wages based on IRS tax brackets, filing status, and W-4 elections, representing the largest single deduction on most American paychecks.

Why it matters in hiring

Federal Tax comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with F

• Fair Work Act (Australia)
• Family and Medical Leave Act (FMLA)
• Federal Minimum Wage
• FICA
• Flexible Benefits (Cafeteria Plan)
• Forced Ranking
• Foreign Worker Levy (Singapore)
• Form 12BB

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.