So at work there was a bulletin post that was talking about updating a new w4 form I kept everything the same though because nothing had changed. But when I got the following paystub after I updated, it said “separate” instead of “single” (options said single or married filing seperate so I picked that one because I’m single) and instead of the usual 1 under federal and 1 under California (I also have no dependents , it’s just me” it had nothing, not even a “0” under federal but it still had a “1” under California. I later realized that it unnecessary to update my w4 since I didn’t have to change anything , I read it as though it was mandatory. I emailed HR about it and they said everything looks the same except it now says seperate. What I’m asking if will my tax refund be effected later in 2021 when I do my taxes since it has nothing under federal and it says seperate now ? Thank you
Copyright © 2024 1QUIZZ.COM - All rights reserved.
Answers & Comments
If you want to get money back at tax time then File Zero and Single for both State and Federal.
If you want to get more money in your pay check and not a lot back for a tax return then go and file 1 and Single.
Under the new withholdting tables, 'single or married filing separately' is ONE withholding category. What the employer puts on your pay statement NEVER mattered to the IRS. They only care how much was actually withheld.
You will not get in trouble and you will get a bigger refund. (You will get the same total amount of money, because more tax will be withheld, so each paycheck will be smaller.)
You wont get into trouble as long as you can pay any difference owed at the end of the year.
Zero withholds more than 1, so you ought to be safe. If anything, your refund would be bigger.
Separate and single are the same thing. It doesn't matter. This is not your final filing status and you would never get in trouble for having the wrong status on your W4.
There are basically 2 withholding tables. The withholding table for "married" is based on a married couple with only one income.
The "single" withholding table is for individuals who are single OR for married couples where both spouses work - its the same calculation, it just happens that it works properly for both of these scenarios.
So it doesn't matter if they call it the "single" table or "separate" table, as long as they're using that table and not the married table.
As for the allowances number - the reason its blank is because the new calculation eliminates the concept of withholding allowances. They simply don't exist any longer. The new method allows you to enter your expected tax credits and deductions (if you think you'll be part of the 10% or so of people who don't take the standard deduction).
Will this affect your refund next year - yes - but not because there's something wrong. It will affect your refund because this new process will be much more accurate for most people and your paycheck withholding will more closely match what you actually owe.
If you've been claiming 0 you were having too much withheld and getting a big refund of your own money back at the end. With the new calculation you'll have bigger paychecks all year because your employer will only withhold the amount you are actually going to owe, leaving you with only a modest refund.
If you prefer to have more withheld so that you can get your own money refunded next February, then simply turn in a new W4 and fill out lines 4a and/or 4c.
On line 4a you can put extra income, and your employer will withhold based on the assumption that you have other income. For example if you earn $40,000 per year but you put $10,000 on line 4a, they will withhold tax as though you will have $50,000 total income. This will result in having too much withheld and will generate a nice refund.
Or you can simply put the exact amount of extra money you want withheld each paycheck on line 4c.
Either of these will increase your tax withholding so you can get your own money back next year.
Claiming zero dependents is fine, but you need to fix your marital status. Claiming zero will have more taxes taken out so that you get a refund. Just fill out another form.