Tax Reform Understanding Your Withholding Allowance on Your Form W-4 Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by TurboTaxBlogTeam Published Aug 10, 2018 - [Updated Oct 18, 2023] 2 min read Reviewed by Katharina Reekmans, Enrolled Agent If you have filed your 2022 taxes, you may wonder what to expect and what moves you should make now. One of the most critical moves you can make is to do a check-up and make sure you have the correct amount of withholding taken out of your paycheck since you may be seeing more money in your paycheck related to lower tax rates under the new law. TurboTax has you covered and can help you adjust your withholding allowance on your W-4 with our W-4 Withholding Calculator, which is updated to reflect 2023 tax law changes. How does this impact my withholding on my paycheck? Individual tax rates are 10%, 12%, 22%, 24%, 32%, 35%, and 37%, and these rates will be reflected in the amount of money being withheld from your 2023 paychecks. The IRS updates these individual tax rate brackets as part of annual inflation adjustments. When you complete a Form W-4, you allow your employer to withhold the correct federal income tax from your paycheck. Generally, if too little tax is withheld, you will owe tax when you file your taxes. On the other hand, if too much is withheld, you will generally get a refund back. Each year, federal withholding should be close to your ultimate tax liability so you don’t owe money at tax time. Do I need to file a new Form W-4 with my employer? You should file a new Form W-4 with your employer if your personal or financial situation changes or if you start a new job. Form W-4 (Employee’s Withholding Allowance Certificate) is completed and submitted to your employer so they know how much tax to withhold from your pay. Typically, you would file a new W-4 when your personal or financial situation changes. A W-4 form takes into account the number of people in your household, tax credits, deductions, and other income, and if you have more than one job or you’re a two-earner household. TurboTax W-4 Withholding Calculator will make it easy to see how many withholding allowances you should take to boost your tax refund — or your take-home pay and also includes the W-4 form that you can fill out and give to your employer. Don’t worry about knowing the new tax laws. When it comes time to file, TurboTax has you covered and will be up to date with the latest tax policy information. Meet with a TurboTax Full Service expert who can prepare, sign, and file your taxes so you can be 100% confident your taxes are done right. Start TurboTax Live Full Service today, in English or Spanish, and get your taxes done and off your mind. Previous Post Tax Reform 101: How the New Tax Reform Law Changed… Next Post Can I Get a Tax Break for Supporting My Alma… Written by TurboTaxBlogTeam More from TurboTaxBlogTeam 5 responses to “Understanding Your Withholding Allowance on Your Form W-4” I am married with 3 kids. How should my w4 be like and how can I file my income tax go maximize refund? Help please! Reply I don’t even know if I got my tax return last year from TurboTax Reply Have used turbo tax over ten years, and cannot get into anything. I have never had a password, and unable to get into programs. please send a phone number and address so I may correct things with your help. Reply I drive for Lyft, What do I do to get the maximum return? Reply If my child lives at home. Andcplanscon enrolling in college. But isn’t working the whole year. Can I claim him? And will I receive a refund for him? Reply Leave a ReplyCancel reply Browse Related Articles Tax News 4 Key Things You Need to Know About the New 2020 IRS Fo… Taxes 101 How to Adjust Your Tax Withholding for the New Year Tax Planning Tax Withholdings and Your W-4 Taxes 101 Can I File Exempt & Still Get a Tax Refund? Tax Tips How to Adjust Your Withholding Taxes 101 Don’t Let Filing Multiple W-2s Scare You Tax Planning 5 Tips for Adjusting Withholding Allowances with Your E… Life Overpaid Tax: Why It Matters to You Tax Tips Common Tax Mistakes, Not updating your Form W-4 Tax Planning I Was Temporarily Furloughed and Then Came Back to Work…
I am married with 3 kids. How should my w4 be like and how can I file my income tax go maximize refund? Help please! Reply
Have used turbo tax over ten years, and cannot get into anything. I have never had a password, and unable to get into programs. please send a phone number and address so I may correct things with your help. Reply
If my child lives at home. Andcplanscon enrolling in college. But isn’t working the whole year. Can I claim him? And will I receive a refund for him? Reply