Where to Pay Payroll Taxes Online
The IRS operates EFTPS (Electronic Federal Tax Payment System), which is the official channel for paying federal payroll taxes online. You can also pay through your business bank's bill pay system if your bank is an approved IRS payment processor, or through third-party payroll software that integrates with the IRS payment network. The fastest and most direct route is EFTPS, which connects straight to the IRS.
State payroll taxes are paid through your state's revenue or tax department website — not through EFTPS. Each state maintains its own payment portal. You'll need to locate your state's specific system by searching "[your state] payroll tax payment" or visiting your state revenue department's website directly.
If you use payroll software like ADP, Gusto, or Paychex, those platforms can handle both federal and state payments on your behalf. The software calculates what you owe, schedules the payment, and files the required forms. You still need to authorize each payment, but the software manages the mechanics.
Key Takeaways
- EFTPS is the IRS's official online payment system for federal payroll taxes and requires advance registration, which takes one to two business days.
- You can also pay federal taxes through your bank's bill pay system or through payroll software, as long as the provider is IRS-approved.
- State payroll taxes must be paid through your state's tax department website, not EFTPS, and each state has different payment schedules and portals.
- Payment deadlines depend on your payroll frequency and the amount you owe — semi-weekly filers have tighter deadlines than monthly filers.
- You need your EIN (Employer Identification Number) and business tax account information before you can set up any online payment method.
Setting Up EFTPS for the First Time
Go to eftps.gov and select "Enroll Now" under the business section. You'll need your EIN, Social Security Number (if you're a sole proprietor), and your business address. The IRS will ask you to create a username and password. After you submit your enrollment, the IRS mails an online PIN to the address on file — this PIN arrives within one to two business days and is required to make your first payment.
Do not wait until your payment is due to enroll. Register at least three business days before you need to pay, so the PIN arrives in time. If you miss the deadline, you can still pay through your bank or payroll software while you wait for the PIN.
Once you receive the PIN, log into EFTPS, enter it, and you can schedule payments immediately. EFTPS allows you to schedule payments up to 120 days in advance, which means you can set up your entire quarter's payments at once if you know your payroll schedule.
How to Schedule a Payment on EFTPS
Log into your EFTPS account and select "Make a Payment." You'll see a form asking for the payment amount, the tax period it covers, and the payment date. The payment date is when the IRS receives the money — not when you initiate it. For payments due on a specific date, schedule the payment to arrive one business day before the deadline to account for processing time.
EFTPS asks you to specify which tax type you're paying: 941 (federal income tax and Social Security/Medicare withholding), 944 (annual payroll tax return), or 943 (agricultural employees). Most businesses use 941. Select the correct tax period — the quarter or month the payment covers — because the IRS matches payments to your tax return by this information.
After you confirm the payment details, EFTPS generates a confirmation number. Write this down or screenshot it. The payment processes overnight, and the IRS posts it to your account within one business day. You can check the status of any payment by logging back into EFTPS and viewing your payment history.
Payment Deadlines and Schedules
Federal payroll tax deadlines depend on how much you owe and how often you're required to deposit. Semi-weekly schedule filers must pay twice per week — typically on Wednesday for payroll processed Monday and Tuesday, and on Friday for payroll processed Wednesday through Friday. Monthly schedule filers pay once per month, usually by the 15th of the following month. The IRS determines your schedule based on your total payroll tax liability in a lookback period.
State deadlines vary widely. Some states follow the federal semi-weekly schedule; others require monthly or quarterly payments. A few states have different due dates for income tax withholding versus unemployment insurance tax. Check your state's tax department website for the exact schedule that applies to your business.
If a payment deadline falls on a weekend or federal holiday, the deadline moves to the next business day. EFTPS and your state's payment system both recognize these extensions automatically — you don't need to request one.
What Happens If You Miss a Payment Deadline
The IRS charges a failure-to-pay penalty of 0.5% per month on unpaid taxes, plus interest that accrues daily. The penalty starts the day after the payment was due. If you realize you've missed a deadline, pay as soon as possible — even a day late is better than a week late, because the penalty compounds monthly.
If you miss a payment, you can still pay online through EFTPS or your bank. There's no separate process for late payments; you simply schedule the payment for the amount owed plus any penalties the IRS has assessed. The IRS will send you a notice with the exact amount due, including penalties and interest, usually within 30 days of the missed deadline.
If you consistently miss deadlines, the IRS may require you to switch to a more frequent payment schedule or to use a third-party payment processor. Repeated failures can also trigger an audit or lead to the IRS seizing your business bank account to cover the debt.
Using Payroll Software to Pay Taxes
Payroll software like Gusto, ADP, and Paychex calculates your payroll tax liability automatically based on the wages you enter and the tax withholdings you've set up. When a payment is due, the software notifies you and asks you to authorize the payment. You review the amount, confirm the payment date, and the software submits it to the IRS and your state on your behalf.
The advantage is that the software handles the math and filing — you don't have to calculate tax liability or remember which tax form applies. The disadvantage is that you're paying a monthly fee for the service, typically $25 to $300 depending on the number of employees and features you need.
Even if you use payroll software, you remain responsible for ensuring payments are made on time and in the correct amount. Review the payment confirmation from the software before it's submitted, and keep records of all confirmations. If the software fails to submit a payment, you're still liable for penalties and interest.
Paying State Payroll Taxes Online
Each state maintains its own payment portal. Search "[your state] payroll tax payment" or visit your state's department of revenue website. Most states require you to register for an online account using your EIN and business information. Some states use a unified portal for all business taxes; others have separate systems for income tax withholding, unemployment insurance, and disability insurance.
State payment schedules vary. Some states follow the federal semi-weekly schedule; others require monthly or quarterly payments. A few states allow you to pay annually if your payroll tax liability is below a certain threshold. Check your state's specific requirements — missing a state deadline can result in penalties separate from federal penalties.
If you use payroll software, confirm that the software covers your state. Most major payroll providers handle all 50 states, but some regional or budget providers may not. If your software doesn't cover your state, you'll need to pay state taxes separately through your state's portal.
Frequently Asked Questions
Can I pay payroll taxes by check instead of online?
Yes, but the IRS and most states prefer online payment and process it faster. If you mail a check, it must arrive by the payment deadline — not be postmarked by the deadline. Mailed payments typically take 7 to 10 business days to post to your account, which means you should mail it at least two weeks early to be safe. Online payment is processed within one business day and is the more reliable method.
What if I overpay my payroll taxes?
The IRS will credit the overpayment to your next tax liability, or you can request a refund. When you file your quarterly or annual payroll tax return, you'll report the overpayment and indicate whether you want it credited forward or refunded. Refunds typically take 4 to 6 weeks to arrive. Do not assume an overpayment will be corrected automatically — report it on your tax return.
Do I need to register for EFTPS if I use payroll software?
No. If your payroll software is IRS-approved and handles payments on your behalf, you don't need a separate EFTPS account. However, you may want to register for EFTPS anyway so you can view your payment history directly with the IRS and verify that payments posted correctly. This is optional but recommended for record-keeping.
What if my payment is rejected by EFTPS?
EFTPS will notify you immediately if a payment fails — usually because of insufficient funds in your bank account or incorrect account information. You can reschedule the payment for a later date, but it must still arrive by the original deadline to avoid penalties. Contact your bank to confirm your account details are correct before rescheduling.
Can I pay payroll taxes for multiple businesses through one EFTPS account?
No. Each business with a separate EIN needs its own EFTPS account. If you own multiple businesses, you'll need to enroll each one separately and maintain separate login credentials. Payroll software can often manage multiple businesses under one account, which is one reason some business owners prefer software to EFTPS.