Growth in Federal Tax Withholding Slowed in June, But Holiday Effects Muddy the Measurement Some
Posted on July 1, 2026 We observed in June a downward movement in growth of federal tax withholding–which is the economywide amount of income and payroll taxes that employers withhold from workers’ paychecks and remit to the Treasury Department as soon as the day after the workers are paid. Specifically, we estimate that tax withholding […]