Problem with 2020 W4 and Automated Payroll!

[Dfixit1]

My spouse works for a big box store that has automated payroll. After preparing 2019 taxes I decided more $$ needed to be removed from payroll for federal withholding. My spouse filled out the digital 2020 W4 and put the the amount in the wrong box 4(b) and the next PP federal withholding was almost nothing, $5 as a matter of fact. So together we filled out another digital W4 and put $15 extra withholding in box 4(c). The following PP withholding was $15!

On all W4’s Step 1 (c) is Married filing jointly and 0 dependents.

It appears if you add any amount in section 4(b or c) it voids out the calculation in step 1 (married filing jointly)

We have called HR many times and they say the tax department doesn’t accept calls.

One HR lady said the same thing happened to her and she fixed it by doing the worksheet and using the years estimated tax dividing it by pay periods (26) and put that amount in 4(c).

This seems to me, fudging the system for a software glitch. If you work less than 80 hours then the automated system will deduct that same amount biweekly!

Any thoughts on correcting this withholding?

We are going to try another W4 with only Married filing jointly to see if the withholding returns to the prior state.

My big question is who’s software are they using?

[JulieS]

While it has always been a struggle to get adequate withholding on a part-time or low paying job, it is worse than ever now.

I can't answer your question about whose software they are using, because I don't work there.

I can recommend the new IRS withholding estimator. It is very detailed and will produce a W-4 form tailored to your financial situation. You can use that form to fill in the electronic W-4 form.

Click here to use the IRS withholding estimator.

[Dfixit1]

Used Publication 15-T and the worksheets and also used the IRS new app calculator. Estimating the taxes though isn’t the problem. The amount of estimated 2020 federal tax was the same as 2019 federal tax on 1040.

The reasons for more $$ withheld is due to several other incomes without withholding.

The Problem Is trying to get the employer to withhold the required federal tax withholding submitted on the 2020 W4.

My question on software was mute 🤐 and was just thinking 🤔 out loud.

thanks!