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Why does my refund go down when i put my firefighter w2 in?

 
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2 Replies

Why does my refund go down when i put my firefighter w2 in?

Did you receive more than one W-2 for 2021?  More income = more tax.

 

 

 

You started off with your first W-2 and your refund look high?  Then you added another W-2 and it stopped looking so good? That is normal.  When you added more income, your tax liability increased, so you saw your refund decrease.  The program began by giving you your standard deduction—- which lowered your taxable income. So you are not being taxed on as much of the income on that first W-2.  Then you added taxable income--so the refund went down. Your refund (or tax due) is based on the total of your income, not “per W-2.”  Wait until you have entered ALL of your income and deduction information.  You can't really tell anything until it is all entered.  That “refund monitor” does not mean anything until everything has been entered.

 

 

 

https://ttlc.intuit.com/questions/2273878-why-did-my-refund-drop-when-i-entered-another-w-2

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Why does my refund go down when i put my firefighter w2 in?

what's happening is that your taxable income is going up which is increasing your taxes but the federal (and state)  withholding on the w-2 are not enough to cover the additional taxes.  also as income goes up your marginal tax rate can go up.  what you're looking at is meaningless if all your data is not entered. income will drive your taxes up, deductions and credits will drive it down. for example, if you can itemize your taxes will likely go down once they are all entered.   

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