I now have to file as single (rather than head of household). I have farmland in another state that is rented (no withholding) in addition to an inherited annuity and a monthly social security payment from my ex-husband. I am still employed full time and just got a raise. I'm already in the 20% bracket and have owed more than $6,000 in taxes last year beyond what I had withheld. So, my questions:
What is the maximum amount I can withhold from my regular paycheck for both federal and state W2s? (I live in Louisiana.) Second, is there a way to get an amount of withholding on my Social Security payment. If so, what percentage should I withhold and how do I set that up?
On your Form W-4 for the regular job, if you just fill out Step 1 and Step 5, your withholding will be computed based on Single's standard deduction and tax rates with no other adjustment.
Or you can spread the expected $6,000 balance due over the remaining pay periods by entering Step 4(c) for additional tax you want to withhold each pay period. Or any larger amount as long as you still have positive take home pay.
Or you can pay estimated tax payment to manage it
on your own.
Form 1040-ES, Estimated Tax for Individuals
Paying online is convenient and secure and helps make sure we get your payments on time. To pay your taxes online or for more information, go to https://www.irs.gov/payments
IRS Direct Pay – for online transfer directly from your checking or savings account at no cost to you.
Pay by card – To pay by debit or credit card. A convenience fee is charged by these service providers.
Form W-4V Voluntary Withholding Request
If you receive any government payment shown below, you may use Form W-4V to ask the payer to withhold federal income tax. • Unemployment compensation (including Railroad Unemployment Insurance Act (RUIA) payments). • Social security benefits. • Social security equivalent Tier 1 railroad retirement benefits. • Commodity Credit Corporation loans. • Certain crop disaster payments under the Agricultural Act of 1949 or under Title II of the Disaster Assistance Act of 1988. • Dividends and other distributions from Alaska Native Corporations to its shareholders. You aren’t required to have federal income tax withheld from these payments. Your request is voluntary.
You may choose to have the payer withhold Federal income tax of 7%, 10%, 12%, or 22% from each payment, but no other percentage or amount.
Hope the above helps!
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