Texas is a Red state, so will you vote? (Howe: exemption, horse)
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Location: Pittsburgh--Home of the 6 time Super Bowl Champions!
10,276 posts, read 6,347,225 times
Reputation: 4699
Quote:
Originally Posted by bellestaroftexas
I have worked for the Dept of Defense for most of the last 7 years, so I am sure that they are doing the right thing with my paychecks. On my W2, I fill it out correctly, as far as I know. I read the directions, dont know what else to do. None of my colleagues who are in the same profession (RN's) understand why I have to pay each year, and I do have a few who are single, no rugrats to deduct, and even one who is like me and has no mortgage to deduct.
Belle, you and I talked about this before. You really NEED to talk to a professional tax accountant to find out what the problem is. There is something definitely WRONG!
I, too am single and a nurse. I work LOTS of overtime which throws me into a higher tax bracket. I have no children. I claim 0 dependents/single on my W2 and then at the end of the year, I claim myself. I do own a house so I itemize and get back most of my property taxes. I usually get a refund of $2700-3000 every year since I've owned my house.
However, when I was living in an apt and didn't have my house, I still NEVER paid into the IRS. I always received about $600-800 refund back at the end of the year. I was still working lots of OT and claiming exactly the same way as above. I believe I had $25.00 extra held out each pay when I didn't own my house.
There is definitely something WRONG with your filing status. I would recheck each W2 form with each job again if I were you and definitely speak to a professional about this.
I have worked for the Dept of Defense for most of the last 7 years, so I am sure that they are doing the right thing with my paychecks. On my W2, I fill it out correctly, as far as I know. I read the directions, dont know what else to do. None of my colleagues who are in the same profession (RN's) understand why I have to pay each year, and I do have a few who are single, no rugrats to deduct, and even one who is like me and has no mortgage to deduct.
The thing is belle,the withholding will be enough if the correct info,such as marital status and # of dependents is given correctly to the employer.Nothing else matters.OT time doesn't matter,house or no house doesn't matter.Here is how it works.I'll keep it weekly since that is how I pay,but it works the same no matter the payroll time period.
First off,OT doesn't affect withholding.The tax tables don't care how you earned the money,only what the gross total is.A guy who makes $1000 in 40 hrs pays the same amount as the guy who makes $1000 in 60 hrs via 20 hrs OT,all deductions and marital status being equal.The final gross amount is all the tax tables address.
Second,withholding isn't a %.The tax tables are divided into $10 increments of gross pay,with each extra $10 you gross making your tax go up a dollar or two.The guy grossing $ 801 pays the same as the guy grossing $ 809.At a certain gross amount (about 1400 on weekly pay) you do start on sort of a % amount,but it is very precise and gets the correct amount taken out.
In short,if the employer has the same info that will be used to figure the tax at the end of the year,(marital status,# of dependents) the correct amount will be taken out each pay period.Other issues,such as mortgage deductions,work to decrease the tax from the the amount the IRS has decided to deduct,and a lack of a mortgage won't make the tax go up from what was deducted.End of year deductions like mortgages do not figure into how much withholding is taken out each pay period.The IRS sets the withholding amounts as if you will have no additional deductions at the end of the year.Having deductions such as mortgages can lower your tax,but not having them cannot make the amount you have to pay go up beyond what was already deducted.
There are only two things that can be going on with your situation.Either the info they are using to withhold is wrong and is causing an inadequate amount of money to be taken out,or you somehow are getting extra compensation that is not getting tax deducted throughout the year that the IRS is getting you for at the end.Take your info to an accountant.Most can answer simple questions like this for peanuts,if not free.
Last edited by lifertexan; 10-30-2008 at 09:21 PM..
i have tried various ways to file taxes-H&R Block, private CPA F.P.C., Department of Army, Turbo Tax, and nothing ever brings a refund.
there is no way i would be able to tell if i am getting the right deductions because i have no clue. i am not an accountant.
i claim 0 dependents (of course cuz i have no kids), single. i ask for 50 bucks a paycheck (100 a month) extra taken out.
i am at wits end.
sure i will see someone when i can afford it...i am sure tax attorneys and those back taxes places cost lots of money-probably thousands of dollars
i have tried various ways to file taxes-H&R Block, private CPA F.P.C., Department of Army, Turbo Tax, and nothing ever brings a refund.
there is no way i would be able to tell if i am getting the right deductions because i have no clue. i am not an accountant.
i claim 0 dependents (of course cuz i have no kids), single. i ask for 50 bucks a paycheck (100 a month) extra taken out.
i am at wits end.
sure i will see someone when i can afford it...i am sure tax attorneys and those back taxes places cost lots of money-probably thousands of dollars
I pay my accountant $250 to do my taxes at the end of the year.Sounds to me like an accountant reviewing your stuff will save you waaaayyy more than what she would cost.Find an indie accountant,not a national chain or a partner in a large firm.
Location: Pittsburgh--Home of the 6 time Super Bowl Champions!
10,276 posts, read 6,347,225 times
Reputation: 4699
Quote:
Originally Posted by lifertexan
I pay my accountant $250 to do my taxes at the end of the year.Sounds to me like an accountant reviewing your stuff will save you waaaayyy more than what she would cost.Find an indie accountant,not a national chain or a partner in a large firm.
Belle...this is GREAT advice. On a personal note...I'm up...slept all day so give me a call girl.
there is no way i would be able to tell if i am getting the right deductions because i have no clue. i am not an accountant.
i claim 0 dependents (of course cuz i have no kids), single.
Right there's part of your problem, you're not having enough withheld. You should claim at least one exemption - yourself.
That of course won't "save" you anything on your taxes, it'll all be the same no matter how much you have withheld. But if a refund's your goal, you need to carry at least one exemption.
Location: Pittsburgh--Home of the 6 time Super Bowl Champions!
10,276 posts, read 6,347,225 times
Reputation: 4699
Quote:
Originally Posted by miokie
Right there's part of your problem, you're not having enough withheld. You should claim at least one exemption - yourself.
That of course won't "save" you anything on your taxes, it'll all be the same no matter how much you have withheld. But if a refund's your goal, you need to carry at least one exemption.
This is incorrect. The less you claim, the more they withhold. If you claim 0 dependents (like I do) they withhold a higher amount of taxes! Then at the end of the year, you claim yourself THEN. That way you get back money!
If you claim 1 dependent (yourself)...they take out LESS money. Then at the end of the year, you are of course claiming yourself once again and you probably end up paying in to the IRS.
Right there's part of your problem, you're not having enough withheld. You should claim at least one exemption - yourself.
That of course won't "save" you anything on your taxes, it'll all be the same no matter how much you have withheld. But if a refund's your goal, you need to carry at least one exemption.
TGH is right.The less deductions you claim,the more money that gets withheld.I have a married employee that claims single and 0 deductions in order to get a large tax refund.I have tried to explain to him he would be better off paying only what he really owes and then putting the rest of what he has me take out into something earning interest,but he likes the idea of it never hitting his hand.Singles have more withheld than marrieds,and the more deductions within this category the less tax withheld,on the theory that marrieds with kids need more spending money each week and would get it back at the end of the year anyway with their family deduction.
I agree with all TG@H and lifertexan have said. Although, it's the W-4 that you fill out with dependents, etc... the W-2 is what your employer sends showing how much you made that year. You should check with HR, but I could see 2 possible situations why you may have to owe -- 1) The employer has seriously underestimated what you will make in a year, so the withholding is at a lower bracket. 2) Some mistake has been repeatedly made on your tax return. That can definitely happen with HR Block & Turbotax (basically the same thing, except at HR Block you pay extra for a human to ask you the questions and enter your answers).. a mistake can be repeated because they always rely on previous returns. A CPA should not make the mistake, though...
Anyway, the important thing about #2 is that you can recover previous refunds that were missed by filing amended returns. That just might easily pay for the CPA/professional tax preparer you hire, maybe a lot more.
If you claim 1 dependent (yourself)...they take out LESS money. Then at the end of the year, you are of course claiming yourself once again and you probably end up paying in to the IRS.
True, and I apologize, I got confused. Increasing the number of *exemptions* decreases the amount of withholding! The poster appears to want to *increase* withholding, in order to obtain a refund (personally, I like to keep my money up front, but to each his/her own).
Just to clarify, though, the term is "exemptions", not dependents, and every one has at least one - his or her self - when they file.
Please register to post and access all features of our very popular forum. It is free and quick. Over $53,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
On a personal note...I'm up...slept all day so give me a call girl.
