Hi - In an attempt to not have a large tax bill, we accidentally over corrected our witholdings last year and got a significant refund. I recently updated my W4 to remove the additional $200 federal withholding and my paycheck decreased? I didn’t change anything else and claim zero dependents. The federal withholding now shows $180 more than what it was with the additional $200? I did get a $4k raise. Did I get bumped up a tax bracket maybe?
You'll need to sign in or create an account to connect with an expert.
You may have. You can review the tax brackets for 2024 Federal income tax rates and brackets here.
If I had to guess, you previously did not have Box 2 checked on the W-4 and this time you did have the box checked (checking the box withholds more tax).
Another possibility is that your employer entered something differently in their payroll software than what your W-4 shows.
@Elb123456 going into the next tax bracket would not be the issue as your income is mor than the tax, i.e. the paycheck should still go up.
Suggest using the IRS estimator tool to ensure EACH paycheck has the correct withholdings.
@Elb123456 Check each line on your paycheck. Is the gross wages the same, etc? I would check with the employer to see if you filled out the W4 right or the employer entered it right and how to adjust it. There is a new W4, it doesn't ask for # of dependents. Did you fill out the old W4 or the new W4?
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
Elb123456
New Member
christom0818
New Member
Marjie33
Level 1
korin
Returning Member
jasonvw
New Member