2020 W2 Tax Withholding Estimations- How To Do It!
Are You Sick Of Guessing Your Tax Obligation?
Most of us are. Too much withholding? Too little? Am I going to get hit with a penalty? Or a big bill at tax time? Or a huge refund?
Well, the Feds have put together a really nice tax estimator that is very easy to use and quite useful.
This is a great resource for all employees to use during the year to check that their tax withholding is reasonably accurate. The nice part of this tool is that it provides for a large variety of contingencies, such as supplemental payments, multiple sources of income, and other complicating factors.
I suggest that you do your own estimates using this tool, AND give it to all of your employees to check their situation prior to submitting or updating their W2 forms.
Direct Access to the ENGLISH VERSION of the estimator
https://apps.irs.gov/app/tax-withholding-estimator/
Link to the EXPLANATION & INSTRUCTIONS for the estimator
https://www.irs.gov/individuals/tax-withholding-estimator
Link to OTHER LANGUAGE VERSIONS for the estimator
Note: WCRM is not responsible for the web or other content found in these links. The producer of those web pages is responsible for the content and all accuracy. These links are provided as a service, but each user is solely responsible for their use. WCRM provides NO warranties or guarantees of suitability for your use or accuracy of results.
WhiteCoat Risk Management provides these articles to help improve general risk awareness in all aspects of your life. It is not responsible for any actions you take or fail to take regarding any aspect of your financial planning or risk management. This article is provided for information purposes and is not intended to provide individualized advice. You alone are responsible for your decisions.
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