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2023 Iowa Tax Withholding
You may notice a change in your Iowa tax withholding on your January 31st paycheck.
On March 1, 2022, Governor Reynolds signed into law a tax reform bill that includes establishing a 3.9% flat income tax rate that will be phased in over four years. Beginning in tax year 2023, there will be four tax brackets ranging from 4.4% to 6.0%. In subsequent years, the top rate will be reduced on an annual basis until a 3.9% flat tax rate is achieved in tax year 2026.
Employees can make changes to their state or federal W-4 (withholding) form anytime in Workday following these instructions: State Withholding Elections | Federal Withholding Elections.
The university is not able to give individual income tax advice, we recommend reviewing your withholding on a regular basis and contacting a professional tax advisor for information and assistance with your personal income tax planning and adjusting your W-4 form.
Public Service Loan Forgiveness (PSLF)
The deadline for the limited PSLF waiver is October 31, 2022. This waiver refers to the limited-time changes to Public Service Loan Forgiveness (PSLF) Program rules that allow borrowers to receive credit for past periods of repayment that would otherwise not qualify for PSLF. The ISU Payroll Office must complete section 4 (Employer Certification) of this form prior to submitting the completed form to the US Department of Education. Forms can be emailed to payroll@iastate.edu or participating Savi users can submit their forms in the Savi/TIAA portal.