uh-oh...new job, filled out tax forums wrong....am i screwd?

go to your finance dept and get it corrected ASAP.

sure, you might get it back, but i'd rather have that cash now than let the govt hold it for safe-keeping.

i'm not sure what forms you have over there, but here in oz there's this one little checkbox that seems to cause confusion to many people. i can't recall exactly what it says, but it's like "is this position your sole/primary employment", or something like that.

tick it wrong and you're automatically put into the "49%" tax bracket because you're not supposed to have the opportunity to earn more money. plus you're messing up the current govt's election employment statistics by taking a second job. for that, they take half your money.

note: the above statements have been pulled from my arse and might not be correct.

 

your screwed

 

Dude, leave it the way it is; if you fall into that habit, one year you're going to file your return and the IRS is gonna tell you, you owe X amount of money and you're gonna **** a brick... Let them take the most out of your check and HOPE you get some back the next year... Either that or evade taxes altogether, but i don't know anything about that, how to do it, i've never done it myself and i don't personally condone it...

 

Yep, better sell your kidney.

 

Don't sweat it. You can just file another W-4. However, make sure that you have your numbers right. Don't rely on the W-4 form. You need to prepare a dummy 1040 to make sure that you are right.

Good luck, Dale

 

If you're smart with money (good time to start!) then why give the IRS an intrest free loan? You can be investing that money yourself for 11 months a year.

 

Here's the basics on the W-4 form (and the tax system in general).

When you fill out a W-4 you are simply telling your employer how much you want them to take out of your check and send to the government. The number you are talking about is called your number of exemptions. You can claim any number of exemptions you want during the year, and the more you claim the less money they will withhold from your check.

Next year when you file your tax return you have to claim only the exemptions (or dependants like yourself, your wife, kids, etc.) that you actually have. It does not matter if your claimed exemptions on your W-4 and your filed return are different, in fact for most they probably are.

Now pay attention because this confuses a lot of people. When the money is taken out of your check that is called withholding. At this point you have not really "paid" your taxes, you are just giving the gov. your money to hold. (Most people find this easier than paying their taxes all at once.)

You actually "pay" your taxes when you file your tax return and justify to the IRS whether you will get a refund (if you had too much withheld) or pay a balance (if you didn't have enough withheld).

Now there are three basic ways to look at withholding:

1. Have them withold the maximum amount (claim zero exemptions on your W-4) and get a larger refund after filing your return. If you are really bad at saving money or investing this is an option, not a very good one, but it is an option. It's not very good because you give your money to the gov to use and you get absolutley no interest from it and you haven't been able to use it yourself.

2. Try to figure out your exemptions as close as possible so that you don't either get a refund or owe come tax time. This will never work out perfect but you can get it pretty close. This is probably the best of both worlds as you have kept the most money in your pocket and still don't owe a big tax bill.

3. Have them withhold the least amount possible (claim as many exemptions as possible) and pay them what is due come tax time. Very good option especially if you will have a lot of deductions (dependents, interest, expenses, losses, etc.). The only bad part is you will need to have the money on hand to pay your bill because you will probably owe. The good part is you have had your money all year and have hopefully been able to use it to make more money.


It sounds like you are just starting out so here's my advice. Unless you are good at saving money try option #1 claim zero exemptions and see how much money you get back next year (and then invest your refund!!).

Once you figure things out better up your exemptions by one a couple years in a row until you are close to option #2. (it should be about 2 exemptions for a single guy with no dependents by the way)

After you really get going maybe try for option #3.

Whatever you decide you are not screwed as several have suggested, you should be able to change your withholding (W-4 form) any time you want. Just ask if you can get a new one to fill out.

Good luck and next time ask the question and make the b**ch answer you, after all it's your money not hers!!

 

I agree completely with Jdub's post.

One further thing: the first two items (FICA, which are Social Security and Medicare taxes) are pretty much a fixed percent of your pay. So they won't change no matter what you do with your W-4.

 

Nice information. One more thing: I noticed that certain types of taxes (federal, state,...?) increase in percentage withheld if more than 40 hours is worked during a week. I didn't compute it, but I just looked at it once and it seemed iffy. It just seemed like hour number 41 was worked solely for the government. Might that be the case with the way this W-4 is set up, or was I just seeing things? Yes, overtime pays at a higher rate here, but I'm talking about percentage of the gross pay for a >40-hour week.

 

Sincere congratulations on your first job at Target! Don't forget to keep smiling.

 

You work at the Target on Rt.28? I live in Peabody and my office is in N. Andover (soon to be in Groveland). Are you working part time there? Are they payin good?

The reason I ask is I need to hire at least one but possilby two responsible folks to help out. I have one girl now who it looks may be quitting in the next 4-6 weeks, and I need to replace her and maybe get someone else too.

P.s. On your tax forms - you're screwed!