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Gerson_Lopz
Returning Member

I’m 16 years old and really confused

So I’m 16 years old and I started working at Panera in February and when the whole corona virus thing started they took me out of the schedule and I wasn’t working but I called them and asked if I was still an employee and they said yes but months passed and they never called me so I applied for another job a Popeyes and I started working there about a month ago and I work 49 hours in 2 weeks and got payed 686 dollar (without taxes being talked off) then when I got my money deposited it was 524.48 so they took 161.52 is that a lot because I don’t know. And when I was filling out the w-4 papers I think it there was check is box that said if you have 2 jobs to click yes so they take out less taxes off your pay check. But I didn’t at the time because I was only working at one which was Panera. So I just need advice on what to do so I don’t get in serious trouble.

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7 Replies

I’m 16 years old and really confused

Don’t worry about it.  The worst that will happen is you have more money withheld than needed, which means you get the excess back as your tax refund.  

You should see up to 4 taxes withheld from your pay.  FICA or social security is a flat 6.2%, that goes toward your future retirement or disability payments.  1.45% Medicare tax, sometimes labeled OASDI, pays for Medicare insurance for people over age 65.  Federal income tax and state income tax, if you live in a state with income tax.  These two taxes go up with your income so on a low week you might have nothing withheld.

 

You file one tax return at the end of the year which reports all your income for the year from all of your jobs, and calculates the total tax you owe.  You get credit for the tax that was withheld, and if the withholding is more than your tax bill, you get the difference back as a tax refund, and if the tax that you owe is more than what was withheld, you owe the difference as a payment.  The withholding system is set up so that most people get a refund.

 

When you work two jobs at the same time, you have to check the two job box on the W-4 to make sure that you have enough tax withheld from both jobs.  If you think you might end up working both jobs at the same time if Panera calls you back eventually, then leave the W-4 alone. The worst that would happen is that you would have too much tax taken out and you would get it back as a refund later.  If you end up only working one job, you can file a new W-4 with the current job, and you might get less withheld and more to take home, and then a smaller tax refund.  

Gerson_Lopz
Returning Member

I’m 16 years old and really confused

Oh ok, so do you think i should quit panera so things dont have to be so complicated. Because i think that would make things alot more smoother and simpler then they are right now. I also want to learn more about all of this, do you have any recommendations on what watch or do?.

I’m 16 years old and really confused

Having a job doesn’t do anything to your taxes if you aren’t working, and there’s no tax reason to quit.  If you like working at both places and would have the time to do both if they called you back, don’t quit because you’re afraid of the taxes.  

I’m sure there are lots of beginners guides to taxes, I just don’t know where they would be.  The books I can recall off the top of my head are for complex issues.  Motley Fool or Nerdwallet might have some articles.  

Gerson_Lopz
Returning Member

I’m 16 years old and really confused

Hmm ok. And i was also wondering is it best to do your taxes yourself or hire someone else to do them for you. Because i think that doing them yourself is best but only if you know what your doing.

I’m 16 years old and really confused

@Gerson_Lopz You got lots of great information in your other thread, too, from VolvoGirl.

https://ttlc.intuit.com/community/taxes/discussion/re-the-child-may-still-be-a-dependent-on-your-ret...

 

You do not need to stress about taxes right now.  Work at one job or both jobs if you choose to.  Save your pay stubs.  But in January  of 2021 you will receive forms called W-2's from your employers.  Those will show how much you earned and how much was withheld for tax, Social Security, etc.    When you have every W-2 from every employer you worked for in 2020, you can file a tax return to seek a refund.  You will probably get back some or maybe all of the amounts in box 2 and box 17 of your W-2.    You should be able to do that on this site for free; your return will be a simple easy one.  We can help with your questions at that time.  Whatever you do, do not lose those W-2's when your employer gives them to you.  

 

Around mid/late February would be an okay time to start working on your tax return.

 

https://turbotax.intuit.com/tax-tips/irs-tax-forms/what-is-a-w-2-form/L6VJbqWl5

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

I’m 16 years old and really confused

As a 16 year old you will be claimed as a dependent on your parent's return so talk to them before you file anything ... they should/may be able to help you file your return.  There are lots of things parents need to teach their kids and filing taxes is a big one. 

I’m 16 years old and really confused

Except for the fact that there is a question “can you be claimed as a dependent by another taxpayer?” and you will check the box for “yes”, you will basically have the simplest return imaginable (unless your parents have put significant investments in your name).  I am a strong believer in learning by doing, and for someone in your situation I would suggest downloading the paper forms and instructions and filling out your own tax return on paper, because it’s easy, and that way you learn a little bit.  

 

Filing simple tax returns is something that should be covered in high school, in my opinion, as part of a basic life skills class or home economics, along with balancing a checkbook and changing your own flat tire.  And your parents could certainly teach you, although a lot of parents these days can’t balance a checkbook or change their own flat tire.

 

You can also definitely use the free version of TurboTax online, as long as your total income is less than $36,000. The only thing you have to know there is that each online account can only file one tax return, so you would need a different online account with a different username and password from your parents’ account (if they use TurboTax). 

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