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Overtime tax deduction calculation seems off, anyone else getting way to low of a return? I was given $19 deduction per TT calc. $19 OT premium on 5k OT payout.

 
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3 Replies

Overtime tax deduction calculation seems off, anyone else getting way to low of a return? I was given $19 deduction per TT calc. $19 OT premium on 5k OT payout.

I figured it out. I was not multiplying the OT rate by the overtime hours. Then it worked out to about 258 refund, not the best but better than nothing. 

DavidD66
Expert Alumni

Overtime tax deduction calculation seems off, anyone else getting way to low of a return? I was given $19 deduction per TT calc. $19 OT premium on 5k OT payout.

What is your Modified Adjusted Gross Income (AGI)?  The deduction begins to phase-out at $150,000 ($300,000 for joint filers) of Modified Adjusted Gross Income (MAGI).    

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Overtime tax deduction calculation seems off, anyone else getting way to low of a return? I was given $19 deduction per TT calc. $19 OT premium on 5k OT payout.

Thank for the reply, I was within the AGI limits. It was not clear to me at first, but I need to multiple the hours in the formula. 

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