Central Payroll Bureau Will Not Participate in Payroll Tax Deferral

September 16, 2020

Initiated by President Donald Trump’s executive memorandum in August 2020, the payroll tax deferral is a four-month, 6.2 percent pay increase for eligible workers, based on the deferral of Social Security taxes until after Dec. 31, 2020. However, those Social Security taxes will need to be repaid between Jan. 1, 2021, and April 30, 2021. 
 
As employers are not mandated to participate, the Central Payroll Bureau, State of Maryland will not be participating in the payroll tax deferral. All payroll taxes will continue to be withheld as usual. Please contact your payroll rep if you have any questions.