Have a Tax Question? Ask a Tax Expert
You're fine .... For 2013, ingle filers with adjusted gross income (AGI) in excess of $250,000 or couples who are married filing jointly and have AGI in excess of $300,000 will also face phaseouts of their deductions and personal exemptions.
So, you can take the personal exemption, your spouse can take one (if you file jointly) that's 3900 each
I am a single parent
Then for single the STANDARD deduction is $6,200
I have a 17 year old son and would like to have the least amount of taxes taken out to make ends meet
the one 3900 exemption for you and one depemdemcy exemption of the same amount for each shild
my income has been reduced by 20000 this year
Ahh ok, you're asking about the W-4 form at work>
how much was your refund last year?
yes I would like to have more in my paycheck without having to go get another job if possible
I had to pay last year but my income was much more
just saw the 20000 piece... let's just busild it from the ground up and estimate your total taxes for the year
SO how many dependants?
myself and my son
can you estimate your annual GROSS income for this year?
85000 it was 115000 last year
ok ... one ore thing .. do you itemize or take the standard deduction?
I believe it was the standard deduction I just had the mortgage interest last year. now I have a 401k and pay for benefits
AHH ok that generates one MORE question ... how much is going into the 401(k) - Tha reduces the taxable income
i currently have 400 in there so far. 25 per pay period 2x month
its not alot but it is something
ok give me juuust a sec and I'll do a projection of the taxes ... IS the mortgage interest and reral; estate taxes more than the 6200 standard deduction?
I was layed off at the end of July but did not have to get unemployment. yes the real estate taxes are 7000
WOw ok we definitely need to itemize ... in that (sorry one more) how much mortgage interest?
mortgage interest is approximately 18000
ok let me frop inthe numbers
into a tax projection
NOw, can you tell me how much withholding is being take out now? (We'll net that against the total tax of 6791, to see how much you're overwithholding, if you are)
I have 7000 federal taxes removed from my salary so far this year
OK, so that will be arond 8400 by the endo of the year
That means that if you change nothing, you'r looking at 1609refund
God bless you . I am not a numbers girl that is why I became a nurse
:) We need nurses more than number crunchers
ok so do you suggest I leave it alone
You ARE pretty close ... let's see at a TAXABLE income 45000, that puts you squarely in th 25% bracket
It is just tight with the salary decrease
1600 / .25 = thats bout 6400 of income you'r having money withheld against that you don't need to
you could VERY safely add 1 allowance on the W4
do you know how much that would give per pay
1600/12 = 133 a month
I think you're better at numbers than you let on
266 a pay
alot of it would be dependent on the true numbers that I will see in the beginning of January correct?
simple stuff I can do but start with tax brackets and you lose me quickly
If the annual amount stays the same ... you still have the same itemized deductions ... pay stays the same ... then looking out over the NEXT year if you add 2 llowances on the w-4 that'll pu more than that back in the paychack ,,, but you'll ose some
If you add 1 (each allowance is 3900) you'll still get SOME back, but it will put closer to 100 back in
but I'll lose some?
yes.. i was just backing into how much total income (about 6400) that you're withholding AGAINST
adding an allowance takes that doen by 3900
so I would be safer with 1 additional allowance
so adding one allowance will only put about 100 back into each paycheck, but you'll still get a small refund at the end of the year
2 will put more back in the paycheck, but hacinr you owe at the end of the year
ok it is something Thanks so much for your help. Much happiness and blessings to you and your family in the upcoming holiday season.
I don't want to owe anyone anything,lol
You too ... glad to help ;;; I tink you haveyour arms around it now
Yes I have a better perspective now
then add one (all other things being equal) that will be safe
very glad to help
I think I am going to move to Texas where you only get taxed once
Yes, NJ IS one of the worst
FL, TX, TN, NV
Actually, just looked it up:
Two states have a limited income tax on individuals. These states taxonly dividend and interest income:
OF COURSE, someties they make that up with hugher property and/or sales taxes
Thanks When my 17 year old gets settled in a few years I may consider it seriously
Here's a great stie for looking at the various states for reitrment purposes ... ALL kinds of data
some property taxes in NJ are upwords of 14000 for a 60x100 ft lot
yes, NJ and NY and CA are whre it seem so many of the hard stories come from (from my perspective here)
BY the way if you just bookmark this page everything will stay here
you're very welcome
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You most definately get a 10