Withholding Feed

Happy Labor Day. While many Americans are working on this holiday, others are fortunate to have off this first Monday in September. Whether you're working or not most likely depends on the type of employee you are. The Fair Labor Standards Act (FLSA) does not require employers to pay employees for time not worked, such as vacations or holidays, writes Susan Heathfield for The Balance. Different jobs, different days off: Salaried employees in exempt professional, technical or managerial positions expect paid holidays. Nonexempt, or hourly, employees are less likely to have paid holidays, or they receive fewer such days off... Read more →


All U.S. workers know, simply from looking at their pay stubs, that our tax system is pay-as-you-earn. Our taxes come out of our paychecks as withholding, both for federal income taxes, as well as to cover future Social Security and Medicare benefits. We don't have control over those taxes we pay now for federal retirement and hospital coverage when we're older. But we can — and should — adjust our income tax withholding if there are changes in our lives, such as marriage or a family addition or home purchase that can affect a tax bill, or we're getting a... Read more →


An expected increase in the Social Security wage base won't help most workers, but could be a tax break for wealthier earners. The economy is ticking along, with nominally more workers finding jobs. But many of them say they aren't getting paid what they should. That's causing some pushback from middle- and working-class voters who supported Donald J. Trump. "Trump ran as a working-class hero, so let's look at the results," Joseph Geevarghese, executive director of Good Jobs Nation, told the Washington Post. "We're seven months into his administration, and wages are flat." While the Administration and economists point to... Read more →


It's officially summer. Time for fun at the beach. And fun making mid-year tax moves. Happy July 5th, the start of midyear tax planning. With six months left in the tax year, it's the perfect time to make some tax moves that could reduce your 2017 tax bill. Here are six easy ones to take care of in July. 1. Adjust your payroll withholding. Did you get a big tax refund this year? Or did you owe Uncle Sam more than you expected? Either situation means that you need to reassess your payroll withholding. It's easy to do. Just give... Read more →


Regardless of which month you marry, there are and will be tax matters to consider. Relaxing after the ceremony. (Photo by Barney Moss via Flickr) Ever wonder why June is "the" wedding month? Me, too. So I looked it up. The Old Farmer's Almanac, which I never realized was a go-to wedding planning resource, says that June is the most popular month to marry thanks to some ancient traditions. The Roman goddess Juno, for whom the sixth month was named, was the protector of women in all aspects of life, but especially in marriage and childbearing. So, says the Almanac,... Read more →


May flowers, like these Texas poppies, are one of the reasons it's such a merry month. Other reasons to be happy is that there are some tax moves you can make now to cut your 2017 IRS bill. (Photo by Kay Bell) Welcome to the merry, merry month of May, which is particularly joyous for folks who've finished up their 2016 tax returns. That's almost 136 million of us, with around 17 million of those 1040 forms arriving at Internal Revenue Service processing centers in the final days of this year's main filing season. While the 2017 filing season got... Read more →


An autographed photo of San Antonio Spurs point guard Tony Parker and the NBA team's head coach Gregg Popovich from Daniel Lewis' autograph collection. Another Coach Pop signature on a restaurant receipt with a really, really big tip is now getting attention. Gregg Popovich is in the midst of going for his sixth NBA championship as a head coach, but he's already the champ to one Memphis, Tennessee, restaurant employee. Pop, as the coach of the San Antonio Spurs is known, apparently left an almost 613 percent tip after a visit April 21 to McEwen's on Monroe. The dollar amount... Read more →


Every journalist, regardless of his or her beat, follows a time-honored template in crafting stories. Each article should tell readers the who, what, when, where, why and how of the selected topic. Answers to those six questions are perfect for detailing the intricacies of estimated taxes. The first estimated tax payment for the current tax year is due every April on the same day that our annual tax returns must be filed. Yep, that means next Tuesday, April 18. With that tax double due date looming for some, here are the answers to the 5 Ws and 1 H of... Read more →


Most folks have their income taxes, both federal and state, withheld from their paychecks. While your employer (or, in many cases, the payroll company it hires) will take care of the amount that comes out each pay period, it's up to you to make sure it's correct. Filling out your W-4: Your withholding is based on the information you provide on Form W-4. The key factor on this document is your number of withholding allowances. The more allowances you claim, the less tax withheld. The reasoning is that you need the money in hand each payday to take care of... Read more →


Taxes are about dollar amounts and dates. April 15 obviously is the biggie. But Dec. 31 is almost as important. The end of a tax year is, for the most part, the last time you can make tax moves that could help lower your coming tax bill. While we all wish we could have Homer Simpson's to-do list, when it comes to taxes, most of us need to take care of some potentially money saving tax tasks by Dec. 31. With the days rapidly dwindling (the countdown clock over there in the ol' blog's right column is tracking them), here... Read more →


June is jam-packed with special days. It kicks off with the official start of the Atlantic/Gulf of Mexico hurricane season, which seems a bit late since we've already seen two storms form this year. Then there's Flag Day, Father's Day and the arrival, here in the Northern Hemisphere, of summer. And I'm not even counting things like today's National Doughnut Day and all the June weddings that will be special calendar dates for those happy couples. And yes, there are some tax connections to all those days. They are duly noted over in the ol' blog's right column, just under... Read more →


One way to survive working on your tax return with a deadline looming -- April 18 this year -- is to make sure you don't make any easily avoidable filing mistakes. Similarly, you don't want to overlook any tax breaks. I guess that technically omitting a tax claim could be considered a mistake, but for the sake of keeping things clear -- and for providing an added blog post topic! -- I've separated them. Searching for tax breaks? Below are 18. (James Corden GIF via CBS.com/Corden) And to save you time in your search for ways to cut your tax... Read more →


The 43 states that collect some type of income tax from their residents plan to follow the Internal Revenue Service schedule and start their 2016 tax-filing seasons on Jan. 19. But when it comes to refunds associated with 2015 filings, the federal and some state calendars diverge dramatically. The IRS, so far, is sticking with its hope prediction that it will issue more than 90 percent of refunds this year within at least 21 days after it receives the electronically filed returns. Illinois, Louisiana and Utah officials, however, are saying not so fast. They have alerted their taxpayers that in... Read more →


Hello 2016! Some of us (not me) got up early to welcome you. Others (me, as you can tell from the posting time on this item) are still easing into this brand new year. But one thing that most of us soon will be doing, regardless of our post-New Year's Eve celebration energy level, is making New Year's resolutions. Yeah, I know making resolutions is the annual, and usually temporary, victory of hope over experience. Most of our attempts to make ourselves and our lives better, at least within the strictures of quick and catchy Jan. 1 lists of goals,... Read more →


One of the year-end tax tips that I've been talking about in recent days is to defer income, such as a workplace bonus, into the next year. That will give you 12 months to figure out how to handle the taxes on the added income. However, I don't think the employees of Hilcorp Energy Co. will be deferring the $100,000 each received this year. Big reward for goals met: The privately held oil and gas exploration and production company gave every one of its 1,399 workers the hefty cash thank you for helping the company achieve its five-year goals earlier... Read more →


Weather claims, estimated taxes and more June tax tasks

Texas is finally drying out. For millions of Texans, the extraordinarily wet May was welcome. Rivers are running again and many Lone Star State lakes are finally full(er) after years of drought. After the Trinity River came out of its banks, the herd in the video above was safely moved to higher, drier land thanks in part to an impromptu cattle drive through the small town of Dayton, Texas. But in other cases, there was no escape from raging water. Several areas in Texas, Oklahoma and other Plains States suffered the deadly side of Mother Nature. Tax help for disaster... Read more →


Happy Labor Day, my fellow workers. Labor Day's first observance is generally thought to be Sept. 5, 1882. On that day, around 10,000 workers assembled in New York City for a parade. Since everyone loves a parade, the Big Apple celebration inspired similar events across the country. By 1894, more than half the states were observing a "working men's holiday" on various days. Later that year, Congress passed legislation and President Grover Cleveland signed into law the country's official designation of Labor Day as the first Monday in September each year. So who's celebrating? American worker jobs: Every year, the... Read more →


Did you have a great three-day Fourth of July weekend? Fantastic! Now it's time to focus on taxes. Really. Don't act so surprised. Yes, it is summer. But you did click over here to the ol' tax blog. Photo courtesy of Camp Laurel, Maine And I know you know that taxes continue well beyond the traditional filing season. So don't let more days slip by without making some midyear tax moves that could help keep you on the Internal Revenue Service's good side an help reduce your upcoming 2014 tax bill. Here are five easy tax tasks to take care... Read more →


The Internal Revenue Service can take a little solace in the fact that it's not the only tax system having problems. HM Revenue and Customs, the United Kingdom's version of the IRS, implemented an expensive new system last year that was meant to improve the tax system's accuracy. It didn't work. More than five million workers paid the wrong amount of tax collected through Pay As You Earn, or PAYE, similar to the United States' payroll withholding. Around two million British taxpayers paid too much, according to The Telegraph. They'll be able to claim their overpayments from HMRC. But the... Read more →


Almost 40 million people age 65 or older currently collect Social Security benefits. Vice President Joe Biden is one of them. The 71-year-old veep also is among those who pay income tax on at least some of their federal retirement benefits. Vice President Joe Biden meets with the original six "Rosie the Riveters" who worked in a shipyard during World War II. They, like the veep, are eligible for Social Security benefits. (Office of the Vice President photo.) That revelation was one of the things we learned with the release of the president's and vice president's 2013 tax returns. Barack... Read more →