The employee is married, filing jointly. Not exempt. No extra withholding.

I spoke with EasyACCT today and after a long session (they remoted into my computer) the issue has been elevated to a higher support level. I am awaiting a call from development and a fix. I will share their answer when I get it. 

Thank you to everyone who has tried to help. This appears to be a system error.

Best regards,

Cheryl