Reply to Is the new IRS calculator for tax year 2018 (filing in 2019) correct? Why did my taxes go up?

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Reply to "Is the new IRS calculator for tax year 2018 (filing in 2019) correct? Why did my taxes go up?"

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[quote=Anonymous]The issue is a failure to update W4s.  Because they are using old W-4s that don’t reflect how taxes work they are kind of guessing.

It is not that hard to estimate and do by hand, especially with the larger exemption from AMT.  anyone who might owe AMT under the new system can probably afford a tax accountant to help them.

All you neee is (1) everything that is pre tax (401Ks, FSAs, healthcare contribution, (2) knowing what your deductions will be using the new rules (do they add up to more than 24K for a family), and (3) how many children will qualify for the tax credit.  You apply the applicable tax rates to income minus pre-tax minus deductions.  Once you have this number you the subtract your child tax credits.

This is how much you will owe.

You then check your withholding and multiply that by the number of paychecks you have left this year.  You add this number to the amount already withheld.  This is how much you will have had withheld at the end of the year.

I get that this is Moore complicated for some that are self emotional loved or variable incomes but it always is for them.  For us wage slaves all you need is a paystub and a calculator.

Compare the numbers to see how you are doing.[/quote]

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