IRS Form W-4 walkthrough (Employee's Withholding Certificate)

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  • Опубликовано: 18 дек 2024

Комментарии • 44

  • @celesteAnderson-zn1he
    @celesteAnderson-zn1he 8 месяцев назад +1

    how you doing? Is there a way to correct a w4 form. my daughter been working for there job for 2 years and when it time to file they tell her the job must have not helped her fill out her w4 correctly but they the one go over the form w her, for 2 years she been mess around but she tells me she put a 1 for single on the form but made a lot on paycheck and little to file. what shall she put on her w4 form extra withholding, she be very disappointed to see such small amount to file

  • @JosephMbidi
    @JosephMbidi 9 месяцев назад +1

    You are the best teacher ever. I do have two kids. I already put $4000. For the state allowance. I put 0. Thank you very much my teacher❤ God blessed you

  • @mohamudclaahi175
    @mohamudclaahi175 5 месяцев назад

    Thanks this is the best explanation I have ever seen

  • @neolynocampo3330
    @neolynocampo3330 9 месяцев назад +1

    Hi! What happens if i just leave Steps 2-4 as blank? Will this create any issue that could lead us to paying a lot during tax season. Filling status marrid filling jointly no dependent, 2 jobs total (husband-1job & me- 1job). Thank you!

    • @teachmepersonalfinance
      @teachmepersonalfinance  9 месяцев назад

      According to the form instructions, you should both check the box in 2c. Then you should complete Steps 3 & 4 for the highest paying job only, while leaving the other blank. If you *don't* do this, then you might be underwithholding, but I can't be sure.
      If you're concerned about overpaying, you can always go through the tax estimator worksheet for IRS Form 1040-ES (see below), then compare that result to your withholdings.
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

    • @annikavanhuss9293
      @annikavanhuss9293 8 месяцев назад

      When you say, “leaving the other blank,” do you mean that the spouse with the lower income should check the box and the spouse with higher income should check the box & fill out steps 3 & 4?

    • @teachmepersonalfinance
      @teachmepersonalfinance  8 месяцев назад

      @@annikavanhuss9293 That's correct.

  • @annajohnson3819
    @annajohnson3819 9 месяцев назад

    Hi…just now seeing this video. Married filing jointly, no kids under 17. Can you not claim yourself as a dependent anymore (1) and place it in step 3 box to the far right above 4a? When you claimed “0” they taxed you at the highest rate.

    • @teachmepersonalfinance
      @teachmepersonalfinance  9 месяцев назад

      I believe that you're thinking of withholding allowances, which used to be on IRS Form W-4. However, 2019 is the last year that used withholding allowances. After that year, the IRS redesigned this form to better account for things like expected tax credits and multiple sources of income.

  • @detroitloves
    @detroitloves 3 месяца назад

    Hello! On step 3, I am going to use the foreign earned income exclusion (FEIE) and am trying to figure out how to enter it. Do I enter it as a credit in step 3 as the full amount of my salary or the full amount of the exclusion ($126,500 for 2024)?

    • @teachmepersonalfinance
      @teachmepersonalfinance  3 месяца назад +1

      The instructions don't specifically address the foreign earned income exclusion, but I would treat it as a deduction, not a tax credit. You can enter it as a deduction in Step 4(b) deductions worksheet, and see if that impacts the deduction calculations. You can always use the tax estimation worksheet in IRS Form 1040-ES to see whether you need to make adjustments after the withholdings take effect:
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

    • @detroitloves
      @detroitloves 3 месяца назад

      @@teachmepersonalfinance Thank you so much for your reply! In case anyone else has this question in the future watching this video - I researched more and found that if the totality of income will be exempt as a W2 employee under FEIE, to fill out Form 673 Statement for Claiming Exemption From Withholding on Foreign Earned Income Eligible for the Exclusion(s) Provided by Section 911 and on the W4 to write EXEMPT in the blank space under 4(c).

  • @KLRC568
    @KLRC568 9 месяцев назад

    For the example you mentioned, the husband has 409 in section 4c. When the wife fills out her W4 form does she also put 409 in section 4c or does she put 0? Thank you.

    • @teachmepersonalfinance
      @teachmepersonalfinance  9 месяцев назад

      Section 4c is a discretionary amount, which means you can put whatever you want. If you're looking for a way to put in the right number, you may want to consider last year's tax return. Based on the change in withholdings from last year to this year, you can make the adjustments to Line 4c to come up with a number to put in there.

  • @BeccaSupreme9197
    @BeccaSupreme9197 7 месяцев назад

    Thank you so much for this video! I have a question, though! Could someone like me, whose parents had claimed “Credit For Other Dependents” for me on their 2023 Joint Tax Return and previously, on their 2022 Joint Tax Return, now, on my own, claim credits like the College tuition credit, New York State household credit, and Earned Income Credit in 2024 since I will be starting a part-time paid summer internship from June 4th to August 16th 2024 (2 months 1 week)! The company had hired me in April! I am a single person with no children, and for this part-time paid summer internship, I have to fill out the NY Withholding IT-2104!

    • @teachmepersonalfinance
      @teachmepersonalfinance  7 месяцев назад +1

      You should be able to claim tax credits on your own, as long as your parents are not still trying to claim you as a dependent in 2024.
      I don't know specifically about the New York State household credit. However, a brief look at the website indicates that as a single taxpayer, you might be eligible for a $75 nonrefundable credit as long as you cannot be claimed as a dependent on another taxpayer's return, and as long as your adjusted gross income (AGI) is $28,000 or less: www.tax.ny.gov/pit/credits/household_credit.htm

    • @BeccaSupreme9197
      @BeccaSupreme9197 7 месяцев назад

      @@teachmepersonalfinancethank you!

  • @SandieCastaneda
    @SandieCastaneda 9 месяцев назад +1

    wth what happened to just claiming 1 or 2 etc, am i thinking about another form???

    • @pizzamilf
      @pizzamilf 9 месяцев назад +1

      They changed it on purpose !!! So it’s more confusing they want you to write a $ amount you want withheld from your checks.

    • @SandieCastaneda
      @SandieCastaneda 9 месяцев назад

      @@pizzamilf omg!

    • @SuperNick090
      @SuperNick090 9 месяцев назад +7

      Yeah it seems like they want you to make a mistake so you’ll owe the IRS ….I prefer the older tax form .

  • @soniaandrusz1465
    @soniaandrusz1465 4 месяца назад

    So how do you fill this out if you are filling single filing separate and have 3 allowances?

    • @teachmepersonalfinance
      @teachmepersonalfinance  4 месяца назад

      My apologies for the late response.
      Allowances are no longer part of the Form W-4 (they were done away with when the form was revised a few years back).
      Given your situation, I can make *some* recommendations, but for the rest, you might have to watch the video or read the article for more depth, based on your situation.
      1. Single filing status: Check the single box in Step 1(c).
      2. Allowances: You can fill in the appropriate number of dependents in Step 3, as applicable.
      Step 2 only applies if you have multiple jobs. And if that's the case, I highly recommend that you walk through the instructions, step by step.
      Step 4 is completely optional, so only complete spaces that you know to be true (i.e. itemized deductions on Schedule A, extra withholding, or non-employment income).
      What I recommend is this:
      1. Complete the form with the best information that you have. Keep a copy of this form for your records (and Step 3, below, if necessary).
      2. Wait for your new withholdings to kick in.
      3. Go through the tax estimation worksheet for IRS Form 1040-ES (see links below), then complete a new Form W-4 and make adjustments to your withholdings (Step 4c), based on any increases that you need to make.
      If this ends up with you being short by the end of the year, you can always make additional tax payments directly on the IRS website: www.irs.gov/payments
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

  • @thehappylifeofjourney1649
    @thehappylifeofjourney1649 6 месяцев назад

    I want know about my w4 how to fill up because i get paid every weeks but they didn't deduct my federal state

    • @teachmepersonalfinance
      @teachmepersonalfinance  6 месяцев назад

      I'm not sure what you mean by fill up. But if they're not deducting from your paycheck, you might want to start with asking your HR department for a copy of the Form W-4 that they have on file. From there, you can decide if you need to make adjustments for additional withholding (Line 4c) or not. If you have not updated your W-4 in a while, I would definitely start there.
      If your employer cannot find your W-4, then you might need to start from scratch. I would complete the Form W-4 as the instructions state. If there's something that doesn't make sense, leave it blank (you can do that). From there, I would check your pay statements once the withholdings kick in, then use the worksheet in IRS Form 1040-ES to estimate whether you're on track, underpaying (you might owe next year), or overpaying (you might get a refund). Then you can make changes to your W-4 to correct your withholding.
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html
      This doesn't cover state tax withholding. Your employer may require you to complete a different form, based upon your state of residency.

  • @guacccc
    @guacccc 4 месяца назад

    hi so if i'm single with just one regular office job, i can just leave it blank? ( aside from name SSN signature etc) ????

    • @teachmepersonalfinance
      @teachmepersonalfinance  4 месяца назад

      You can do this. I would recommend that after your deductions take effect, you use the worksheet for IRS Form 1040-ES to determine whether you'll be on track to get a refund or owe taxes based upon your new withholdings:
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

  • @MarccVillanueva
    @MarccVillanueva 9 месяцев назад

    Hi I recently move here in US a couple months ago and I got my first job at McDonald's and i don't have any idea how to fill out this taxes and everything can you please help me. The steps 4c Extra withholding is required to fill out but i don't know what how much or what to fill in.

    • @teachmepersonalfinance
      @teachmepersonalfinance  8 месяцев назад

      You may want to go over your tax situation with a tax professional to make sure that you are withholding enough in taxes. I'm not sure I could explain everything you need to do in this comment, but I think you might be able to see the kind of help you need at an IRS Low-Income Tax Clinic (LITC).
      This page includes a little more detail, as well as a listing of LITCs around the United States, so you can schedule an appointment with the LITC closest to you: www.taxpayeradvocate.irs.gov/about-us/low-income-taxpayer-clinics-litc/

  • @belizeanempress71
    @belizeanempress71 5 месяцев назад

    Hello I have a question?

  • @sindhibhajans9768
    @sindhibhajans9768 8 месяцев назад

    Where to tick if I am married and my wife doesn’t work/ earn and she is dependent on me, I have only one Job, I will start my job on 1 july 2024 , and this will be my first job and I am coming from India to join this job

    • @teachmepersonalfinance
      @teachmepersonalfinance  8 месяцев назад

      If your wife doesn't work, then you should complete the information in Step 1, skip Step 2, then follow the guidance in Step 3.
      For Step 4, you could leave this blank for now, then check in a couple of months to make sure that you have the right amount of taxes being withheld. If you need to increase that amount, then you would add the amount of extra withholding in Line 4(c).
      To check and see about your withholdings, you can use the worksheet in this video. I've also attached a link to the form, if you need to send additional checks to the IRS. You might not need to do so, if you decide to increase your tax withholdings.
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

  • @suburbohemian
    @suburbohemian 4 месяца назад

    I'm really disappointed! You said you were going to show how Mary fills out her W4 for her lower paying job, and this is the part I needed to know. It's not covered in the blog you cite either.

    • @suburbohemian
      @suburbohemian 4 месяца назад

      My husband makes 10x what I make because he's a full-timer high school teacher and I'm a less than part-time substitute preschool teacher. He's trying to tell me that all that extra should come off my W4 when I don't even get a paycheck regularly and I make barely over minimum wage per hour too. :/

    • @teachmepersonalfinance
      @teachmepersonalfinance  4 месяца назад +1

      I did not go over how to complete Steps 3 through 4c for the lower-paying job because the IRS instructions state that you should only complete these steps for *one* job. And the recommendation is that your tax withholdings will be more accurate if you and your husband agree to do this for the *higher paying job.* That was the focus of my video, so I apologize if I did not make that clear up front.
      Please feel free to pass this recommendation (from the IRS) on to your husband.
      You can always leave Steps 3 through 4c blank if you don't know what information to put there. I've recommended this as a default for many people without complaint.
      You and your husband can use the IRS website estimator tool to determine whether your withholdings are sufficient. However, I usually recommend that people use the worksheet located in the instructions for IRS Form 1040-ES, where you can see everything in front of you.
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

    • @suburbohemian
      @suburbohemian 4 месяца назад

      @@teachmepersonalfinance Thank you for a quick reply!!!

  • @RainingRabbitz2
    @RainingRabbitz2 4 месяца назад

    not married no kids, how the heck to claim 1 on these new w4 forms

    • @teachmepersonalfinance
      @teachmepersonalfinance  4 месяца назад

      Given your situation, I can make some recommendations, but for the rest, you might have to watch the video or read the article for more depth, based on your situation.
      1. Single filing status: Check the single box in Step 1(c).
      Step 2 only applies if you have multiple jobs. And if that's the case, I highly recommend that you walk through the instructions, step by step.
      Step 4 is completely optional, so only complete spaces that you know to be true (i.e. itemized deductions on Schedule A, extra withholding, or non-employment income).
      What I recommend is this:
      1. Complete the form with the best information that you have. Keep a copy of this form for your records (and Step 3, below, if necessary).
      2. Wait for your new withholdings to kick in.
      3. Go through the tax estimation worksheet for IRS Form 1040-ES (see links below), then complete a new Form W-4 and make adjustments to your withholdings (Step 4c), based on any increases that you need to make.
      If this ends up with you being short by the end of the year, you can always make additional tax payments directly on the IRS website: www.irs.gov/payments
      IRS Form 1040-ES, Estimated Tax Voucher
      Article: www.teachmepersonalfinance.com/irs-form-1040-es-instructions/
      Video: ruclips.net/video/MqA_0OX9kxI/видео.html

  • @thehappylifeofjourney1649
    @thehappylifeofjourney1649 6 месяцев назад

    I have only one job

  • @eddie6133
    @eddie6133 8 месяцев назад

    I don’t have kids tho

    • @eddie6133
      @eddie6133 8 месяцев назад

      My ssn box says “on file”