Welcome Guest. Sign in or Signup
Asked by: Jesica Hogan
Im 17 and my paychecks arr usually 650$ but taxes takr 130$ . Im currently claiming 0. Should i claim 1???
Dan B on Jul 19, 2012
Yes you should on your W4 claim single and 1 exemption. No sense in giving the Feds an interest free loan.
0 Votes 0 Votes 0 Votes
Bobbie on Jul 19, 2012
No leave it as you now have it for the federal income tax FIT amounts for this purpose only.
Gross pay $ 650.00 biweekly pay period for the below Guesstimate.
Federal income tax $ 68.37
Social Security $ 27.30
Medicare $ 9.43
Net pay (take home) $ 500.90
Here you go you can try and do your own estimated tax calculations at this time in your life for this purpose since you are the only one that would know all of the needed necessary information at this time.
http://www.irs.gov website and use the search box for 2012 Form 1040-ES (OTC)
Estimated Tax for Individuals
Copy and paste the below enclosed website address into your browser address bar for this purpose.
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 2011, 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.
You probably can find an estimated tax calculator for your state income taxes by going to your state income tax department website and use the search box for estimated tax calculator at that time in your life.
I would hope that you do find the above enclosed information useful for your situation and good luck to you with this matter. 07/19/2012
D M on Jul 19, 2012
The only reason you change your number of exemptions is to reduce or increase the amount of taxes withheld from your paycheck.
Claiming too many exemptions might mean you withold too little and have to make a payment when you file your taxes. Claiming too few might mean you withold too much and give the government an interest free loan until you file your taxes and get the overage back.
I don’t know if the $ 650 is a weekly paycheck, a biweekly paycheck or a monthly paycheck so that makes a big different, but at your age, I would probably guess your income taxes would be very low or none at all, so you could probably claim an exemption or two without too much worry.
Note, exemptions only affect Federal and State income taxes. You are going to keep paying Social Security and Medicare whether you take 0 exemptions or 99. They want your money.
If you are worried, get a copy of Turbotax or tax cut and estimate how earnings and withholding for the year. If you won’t owe any taxes because you don’t make enough, you could increase your exemptions to whatever amount would stop all income tax withholding without worry. Check turbotax online (or hr block online, thye might have a simple free version there)
chatsplas on Jul 20, 2012
You can’t do anything about SS and Medicare
You can only change the FIT and SIT tax withholding
If this is part-time job and you’re earning less than $ 5K for year, you are probably Exempt, and can change your w-4 at anytime to claim 1 allowance or file Exempt
It is a sworn statement under penalties of perjury, and claiming Exempt when NOT, can get you in trouble
Changing from 0 to 1 allowance on w-4 may slightly increase your take-home
But if you’re working fulltime and making more, then you might have some tax liability, particularly as you’re a dependent
There are online tax calculators at http://www.irs.gov, Paycheckcity, JacksonHewitt MyTaxManager, Block, etc.
Judy on Jul 20, 2012
At 17 you are almost surely a dependent, so should continue to claim 0. If you claim 1, you might end up owing at the end of the year.
tro on Jul 20, 2012
claiming 0 allows the most to be withheld that can be at your gross and status
yes, you can certainly change to 1 and have less income tax withheld
the FICA and a state employee tax, if any will not change
at 17, your standard deduction for 2012 is $ 5950, if you do not anticipate earning that much you will not owe any income tax
Existing User New User? Register Now
© 2012 Tax Discussion is powered by Yahoo! Answers.