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When can a minor claim exempt on a W-4?
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When can a minor claim exempt on a W-4?
Basically, never claim exempt on your W-4. The withholding system is set up so that, if you earn under the amount to owe tax, no federal tax will be taken out of your pay, and if you start to earn over the limit, the appropriate tax will be withheld. In other words, it's self-adjusting. Claim the correct number of allowances per the worksheet.
At $15,000 of gross income, your taxable income will be $3000 and your income tax owed is $300, assuming this is all from W-2 employment and not self-employment, and assuming nothing else changes in your tax situation. You could claim exempt once you reach this amount -- the IRS will not penalize you as long as the amount of money you pay into the system is equal or more than what you end up owing. But be careful; if your situation changes (you start working more hours, you get married, you start a side-job or take a second part-time W-2 job) and you don't adjust your W-4, you could end up with a surprise tax bill.
Withholding limits, exemption amounts, and tax percentages may be completely different for your state income tax. Claiming exempt on your W-4 may also make you exempt from state withholding (unless you file a separate state withholding form claiming something different) and that might be the wrong answer even at that low of income.
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When can a minor claim exempt on a W-4?
If you will earn less than $12K of W-2 income from all sources for the entire tax year, then filing exempt shouldn't be an issue. However, if you earn more than that having filed exempt, not only will you pay the taxes you owe on the amount that exceeds $12K, you will also pay a fine for having claimed exempt when you did not qualify to do so.
Also understand that you are still required to pay Medicare and Social Security. You're not exempt from that.
Now if self-emploiyed and you earn more than $400 through self-employment, then you are required to file a tax return and you will pay the self-employment tax at 15.3% on the amount of SE income that exceeds $400, no matter what.
So you might want to reconsider filing as exempt, because if you earn more than $12K of W-2 income or more than $400 of SE income, it's gonna cost you.
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When can a minor claim exempt on a W-4?
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When can a minor claim exempt on a W-4?
Basically, never claim exempt on your W-4. The withholding system is set up so that, if you earn under the amount to owe tax, no federal tax will be taken out of your pay, and if you start to earn over the limit, the appropriate tax will be withheld. In other words, it's self-adjusting. Claim the correct number of allowances per the worksheet.
At $15,000 of gross income, your taxable income will be $3000 and your income tax owed is $300, assuming this is all from W-2 employment and not self-employment, and assuming nothing else changes in your tax situation. You could claim exempt once you reach this amount -- the IRS will not penalize you as long as the amount of money you pay into the system is equal or more than what you end up owing. But be careful; if your situation changes (you start working more hours, you get married, you start a side-job or take a second part-time W-2 job) and you don't adjust your W-4, you could end up with a surprise tax bill.
Withholding limits, exemption amounts, and tax percentages may be completely different for your state income tax. Claiming exempt on your W-4 may also make you exempt from state withholding (unless you file a separate state withholding form claiming something different) and that might be the wrong answer even at that low of income.

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When can a minor claim exempt on a W-4?
i don't know where you got the $21 from but if you earn $15,000, $3,000 would be taxable and the tax on that is about $280 in 2019.
also based on 2018 2210 if your tax for the year is less than $1,000 you will not owe an underpayment penalty. (instructions on line 4)
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When can a minor claim exempt on a W-4?
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When can a minor claim exempt on a W-4?
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