Why do I owe money when I claim single, 0 dependents on my two jobs and have an additional $15 taken.?
I did my taxes last year, I claimed 0 dependents on one job and 1 dependent on another all year long and I was shocked when I owed $600 at the end of the year. I always thought as long as you claim 0 you should be fine. So I adjusted my w-4 so I had 0 dependents on both and had them take an additional $15 from each job on every check. This was to calculate a good hundred over what I owed last year. Last year i made about $33000. I went to the IRS calculator and now it is trying to say that it's estimated that I will owe $1400 this year in taxes. I only made $21000 this year, (loss of pay is because I have been in college all year). I know this is just an estimate, but what gives? I want to understand why they aren't pulling enough money from my paychecks. How does this all work. I would like to know so I can re-adjust additional with holdings on my w-4 beginning of January. Thanks
- BobbieLv 77 years ago
Sounds like you are on the right track in trying to get your W-4s filled out correctly at this time in your life to try an keep from owing taxes during the tax filing season for this purpose and time in your life. BUT every couple of months you could do some estimated tax calculation to see how close you will be with your YTD tax withholding amounts at that time and then try to make some adjustments to your W-4 at that time of the year.
Enter your filing status, income, deductions and credits and we will estimate your total taxes for 2012. Based on your projected withholdings for the year, we can also estimate your tax refund or amount you may owe the IRS next April 2013. In 2012, Federal income tax rates were scheduled to increase to pre-2001 levels, but the 'Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010' left the existing tax brackets in place through 2012.
Hope that you find the above enclosed information useful. 12/13/2012
- 3 years ago
If she claims 1 she is not going to owe however will have a small refund. If she claims 2 she comes in the direction of breaking even, but would owe a small quantity. If she'll only be working 1/2 of the year, and did not have any other revenue and received no unemployment, she'd close to certainly be trustworthy with 2 and now not owe.
- ninasgrammaLv 77 years ago
When you made $21,000 doing two jobs, each job withheld at a very low rate, possibly zero.
For example (to oversimplify): In 2012, a single person can earn $9,750 and owe zero tax. If you had a job that earned you less than $9,750 a year, no tax is withheld regardless of the number of allowances you put on your W-4. Then, if you had a second job with the same earnings of $9,750, no tax is withheld.
But, when you combine these two jobs, you now will owe tax on $9,750, which comes to just over $1,000.
To deal with this, use the worksheet on the back of Form W-4. It does a fair job of figuring out the additional withholding you should do in case of two jobs. You can also do a mock tax return and use the withholding tables available at IRS.gov, or get a tax professional to do this for you.
- troLv 77 years ago
that sounds really odd since you are claiming 0 and having additional withheld
single, no dependents, your non taxable income is $9750, leaving $11250 taxable, probably about $1256 income tax
how much has been withheld on all jobs?
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- RobLv 77 years ago
BECAUSE the 'tax cuts' actually lower the withholding
rates so u get more in pocket weekly and less of return.
adjust next years w4 form.Source(s): employer
- 7 years ago
Somethign is not right, that's why. You are doing something wrong.
They are pulling exactly what you are telling them to.
- David14Lv 77 years ago
We aare not psychic.