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us1
New Member

Using the actual withholding method to figure a penalty, the TT sum that my withholding "must equal" is $580 more than the W2s entered. Where is TT getting this sum?

There is nothing else I've entered that includes withholding.
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2 Replies
KeshaH
Expert Alumni

Using the actual withholding method to figure a penalty, the TT sum that my withholding "must equal" is $580 more than the W2s entered. Where is TT getting this sum?

If your income exceeds certain thresholds, you're subject to the Additional Medicare tax of 0.9% on earnings above those thresholds. When your wages exceed $200,000 from a single employer, they're required to withhold this Additional Medicare Tax. This withholding appears in Box 6 of your W-2, not Box 2 (which only shows federal income tax withholding).

 

If this is the case for you, TurboTax includes both your regular federal income tax withholding (Box 2) and your Additional Medicare Tax withholding when calculating your total federal tax payments for the year. That $580 difference could be Additional Medicare Tax.

 

If not, we can look at your return and see exactly what you see to  help come to a resolution. The return will be scrubbed and won't include any of your personal details.

 

If you're using TurboTax Online:

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Please reply to this message with your token so that we can further assist you. Let us know all the states, if any, that are included on the return.

us1
New Member

Using the actual withholding method to figure a penalty, the TT sum that my withholding "must equal" is $580 more than the W2s entered. Where is TT getting this sum?

Thank you!  This is exactly the answer I couldn't find in any threads.  The additional medicare tax withheld on paychecks is increasing the total amount paid. That would be a helpful side bar note on the actual penalty calculation help topics.   

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