In most situations, the tax withheld from your pay will be close to the tax you figure on your return - if you follow these two rules.
• You accurately complete all the Form W-4 worksheets that apply to you.
• You give your employer a new Form W-4 when changes occur.
However, because the worksheets and withholding methods do not account for all possible situations, you may not be getting the right amount withheld. This is most likely to happen in the following situations:
• You are married and both you and your spouse work.
• You have more than one job at a time.
• You have nonwage income, such as interest, dividends, alimony, unemployment compensation, or self-employment income.
• You will owe additional amounts with your return, such as self-employment tax.
• Your withholding is based on obsolete Form W-4 information for a substantial part of the year.
• Your earnings are more than $130,000 if you are single or $180,000 if you are married.
• You work only part of the year.
• You change the number of your withholding allowances during the year.
If you need help downloading Form W-4 or have questions on how to fill it out properly, give us a call. We are happy to help.
Subscribe to:
Post Comments (Atom)
![[Most Recent Quotes from www.kitco.com]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_vE8wvgqtp4NP1tD1ETtewtEosoa5VrxLkGLy0NoScNAGcCl22EQP3l_tnNiMluuvB7j_ggFdvQ7tcdSRN80UNebvauojxqqYbMqcdOxTb84R2wMB0P9mhIL_23sd-ccGpZ=s0-d)
This line struck me the most: you give your employer a new Form W-4 when changes occur. With the possible reasons of the changes, it's easy to track tax returns.
ReplyDeleteI believe that it's the role of the payroll management to carefully process tax reports and payments. Many payroll managers are told by their superiors to use accounting software accurately organize payroll data every month. However, others just rely on outsourcing options for their payroll management needs. In case of preferring the use of accounting software, you may opt to use accounting tools like Peachtree Quantum and Peachtree Quantum 2011.
Thanks for posting about withholding tax, John!