IRS Withholding Calculator
How well do you know your paycheck and what is being deducted from it? With major changes in 2018 tax laws, the IRS is encouraging taxpayers to do a paycheck double check to ensure you’re having the appropriate amount of taxes withheld. You can do this by simply using their handy Withholding Calculator!
Why Should I Check My Withholding?
Many taxpayers are wondering why they should take the time to double check their withholding amount and the answer is simple:
- This will help protect against having too little tax withheld and having to pay in when you file your taxes next year.
- Also, you may prefer to have less tax withheld up front and receive more in your paycheck.
How Do I Use The Calculator?
This link will take you to the Withholding Calculator, a tool that will walk you through a list of questions relating to your taxpayer filing status. It will be important to have a copy of your latest tax return and most recent pay stub to most effectively use the Withholding Calculator.
How Can I Change My Withholding?
Based on the results from this calculator and the changes you want to make to your paycheck, you can contact your HR department and update your W-4 form. The sooner the better to ensure the change is made earlier in the year as the withholding happens during every pay-period.
If you have questions relating to how you can update your withholding or need help deciding what to put on your W-4 to capitalize on your income, reach out to your CPA or contact Christianson today!