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Not enough federal taxes from paycheck

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above82

Member
What is the name of your state (only U.S. law)? FL

I just recently did my taxes and for the life of me couldnt figure out why my normal tax return was way less than normal. I finally realized my employer did not take out enough federal taxes on my W2

just an example

Wages $10,000 federal income tax withheld $250

No dependents
No tax write offs

My tax return is just as simple as inputting the wages

I get about the same each year, this year way too little.

Is my employer liable for the mistake? Also my filing status has been the same for years with the same company. Do I go to the tax office to have this looked at or call the employer?
 


davew128

Senior Member
Is my employer liable for the mistake?
What mistake do you think THEY made? A single person with no dependents making $10k a year should owe about.....$250 in tax for the year. :rolleyes:

Sounds like they got it right.

Also my filing status has been the same for years with the same company. Do I go to the tax office to have this looked at or call the employer?
Here's an idea: CALL THEM.
 

cbg

I'm a Northern Girl
So....when you completed your W-4, what did you tell them to take out?

An employer takes out the taxes that YOU tell them to take. If not enough was taken out, it's no one's fault but yours.
 

Zigner

Senior Member, Non-Attorney
Just for the sake of accuracy...

You are asking why your REFUND was so little. The RETURN is the form you fill out...
 

TheGeekess

Keeper of the Kraken
Just for the sake of accuracy...

You are asking why your REFUND was so little. The RETURN is the form you fill out...
And I don't understand why someone would allow the Fed to hold onto their money for the year when it could be in their pocket every payday. It's not a savings account. :cool:
 

Ozark_Sophist

Senior Member
And I don't understand why someone would allow the Fed to hold onto their money for the year when it could be in their pocket every payday. It's not a savings account. :cool:
This. I would rather have zero return or pay some at tax time then give the government an interest free loan.
 
What is the name of your state (only U.S. law)? FL
I get about the same each year, this year way too little.

Is my employer liable for the mistake?.... Do I go to the tax office to have this looked at or call the employer?
Liable for any penalty? No. Go file an updated W-9 with your employer OR file quarterly payments.

Since you are still getting $$ back it sounds like you are just not getting the tax refund you would like. You are free to pay via paycheck more for this refund next tax year.
 

cbg

I'm a Northern Girl
wrongmoreoftenthanhe'sright is holding true to his name.

Employees complete W-4s. IC's complete W-9s.

The poster clearly states that he is an employee.
 

above82

Member
CBG then how come last year I made the same amount, nothing has changed on my filing status and they took out over 1000 in federal?

I have a friend who made 12k they took out 1100.same filing status, same company.

Davew128...no need to be snide..i know to call them. I wasn't sure if this was the responsibility of the employers book keeper or the IRS. and why should I owe taxes? I haven't changed anything in years with this company. I have always received about the same refund every single year.

wrongsometimes...i'm not an independent contractor so why would i file an I9?

Everyone, i'm just trying to get some information. I don't see why some have to make comments like i'm an idiot. I'm far from one and don't appreciate the way some comments are made.

I cant understand how for the past 5 years working for this company my tax refund has always been the same. I haven't changed anything, I haven't received a raise I haven't married, I have the same filing status, so why not the same refund?

Is this clear? I feel I have to speak the same way I am spoken to on here so forgive me for speaking my mind.
 

justalayman

Senior Member
the amount of tax we pay each year does vary. Didn't you hear anything about things like the Bush tax cuts or any other tax program. The federal government can change the amount of tax we pay every year.

I cant understand how for the past 5 years working for this company my tax refund has always been the same. I haven't changed anything, I haven't received a raise I haven't married, I have the same filing status, so why not the same refund?
maybe the accounting department realized they were taking out an excessive amount of tax the prior years and has corrected it this year. It really is irrelevant. The amount of your tax refund really means nothing. Ideally, you should neither have to pay additional tax or get a refund if the exact correct amount is taken out.
 

davew128

Senior Member
and why should I owe taxes? I haven't changed anything in years with this company. I have always received about the same refund every single year.
What happened when you compared both year's tax returns to each other and noted the differences?

Again, someone with $10k in wages would have tax of $250.....and depending on how much you earned per pay period, it is easily conceivable you would have NO tax withheld....which of course is not what you said in your first post.
 

above82

Member
The comparison showed we both made approximately the same give or take a few bucks...we file the same...single, no dependents...his federal tax showed 1100...his earnings around 10k...my federal tax $250...my earnings around 10K..something had to be wrong. I get the same W2 every year.


What happened when you compared both year's tax returns to each other and noted the differences?

Again, someone with $10k in wages would have tax of $250.....and depending on how much you earned per pay period, it is easily conceivable you would have NO tax withheld....which of course is not what you said in your first post.

So I contacted the office..and as suspected the wrong information was inputted into my W2. The argument I had posted on here was correct, a mistake was made. My new W2 now shows the correct Federal Taxes paid which was over 1000K not $250. I have been getting the same information on my W2 for the last 5 years and I knew something had to be wrong and I was right.
 

anteater

Senior Member
So I contacted the office..and as suspected the wrong information was inputted into my W2. The argument I had posted on here was correct, a mistake was made. My new W2 now shows the correct Federal Taxes paid which was over 1000K not $250. I have been getting the same information on my W2 for the last 5 years and I knew something had to be wrong and I was right.
That's good, but...

If your wages are around $10K, why in the world are you having $1,000 withheld?
 

davew128

Senior Member
So I contacted the office..and as suspected the wrong information was inputted into my W2. The argument I had posted on here was correct, a mistake was made. My new W2 now shows the correct Federal Taxes paid which was over 1000K not $250. I have been getting the same information on my W2 for the last 5 years and I knew something had to be wrong and I was right.
And had you compared your W-2 to your final paystub the error would have been discovered immediately.
 

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