What typically influences payroll taxes withheld from employee earnings?

The number of dependents claimed by an employee is a significant factor that influences the amount of payroll taxes withheld from their earnings. When employees fill out their W-4 forms, they indicate the number of dependents they have, which helps the employer determine the correct withholding amount for federal income tax. Generally, the more dependents an employee claims, the less tax is withheld from their paycheck, as they qualify for tax exemptions or credits based on their dependents.

In contrast, the location of employment may influence state and local tax obligations, but it does not directly impact how federal taxes are calculated based on dependency. Job title, while related to salary, does not play a role in the withholding calculations themselves. Annual performance reviews might affect salary increases or bonuses but do not have an immediate impact on the withholding of payroll taxes. Thus, the number of dependents is clearly the primary factor affecting how much is withheld from an employee's earnings for payroll taxes.