W4

[Lexileeann]

Hi, I just started a new job and I am married, filing joint with one dependent. I filled my w4 out that way by checking box c. I did have a job before this one and did the same thing and had federal income tax withheld. This new employer however, is barely withholding any federal income tax. I make $20/hr 40 hrs a week and they are withholding $11 every two weeks. They said until I hit the $2000 for the dependent credit it will barely withhold any. That can’t be true right? Is this an employer error or does it make sense? Should I have done the multiple jobs worksheet with my w4? THANK YOU SO MUCH

[Adria L]

Hi @Lexileeann !

Since you have a  child under17 years of age, you are entitled to the Child Tax Credit.  This amounts to about $2000 per child. The tax credit decreases the amount of  your tax liability. This may be why you do not have any federal tax deducted. However, this is generally done only for the job in which you have the highest income.

This TurboTax Calculator is helpful to verify whether the amounts being deducted or not deducted are reasonable:

https://turbotax.intuit.com/tax-tools/calculators/w4/

You can request to withhold additional amounts on line 4C, if you want more withheld.

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[ZeeEA20]

Hello @Lexi 

To calculate for multiple jobs and/or working spouse the easiest way to do that is to use TurboTax's W-4 Withholding Calculator . It will walk you through a series of questions about your income, tax deductions, and credits, and it provides instructions for completing Step 3 and 4 of the form.

Just remember, while you need to fill out a W-4 for each employer you work for, you should only complete Steps 2 through 4 for your highest paying job. For other jobs, leave those steps blank.  

To ensure your tax withheld is appropriate for your tax situation, you can divide the amount you usually pay in federal taxes by the number of paychecks you receive in a year and compare it to the withholding from your and your spouses paystubs to find out if your estimates are accurate. 

You and your spouse can update your W-4 form anytime during the year. Just remember, adjustments made later in the year will have less impact on your taxes for that year. 

Hope this helps!

[Critter-3]

If you have not filled in a new W-4 in the last 4 years then the result you are getting is to be expected as the new withholding system is meant to keep your refund on your return as close to zero as possible.  On the W-4 you can (A)  choose the SINGLE filing status  OR  (B)  don't claim the child  OR (C)  enter an amount on line 4C to force more being withheld   OR  do more than one of these things.   Review your refund from the prior year ... did you get back most or all of your withholdings in the past ?  If so then you may not need to have withholding ... just be aware that your refund will be less.