Regarding my W4, why would my Federal Withholdings be thousands less than usual if I haven't updated a W4? Same employer for 10+ years.

[jennifer0534]

According to Paylocity, the change occurred 1/2023, but not by any change in my life or via a W4.

[JulieS]

Yes, unfortunately, the IRS adjusts withholding down every year to prevent "bracket creep". 

This is based on the theory, if you make about the same amount of money every year, over time, your tax bracket will move up due to inflation, while you effective tax rate may go down. The higher the rate of inflation, the bigger the difference is when compared to last year. 

To remedy this for yourself, you may want to file a new W-4 form every year in January.