So I just saw on my w2 that my work goofed and had me down for 2 allowances the entire 2006. I live at home with my parents so I should have no allowances right? Which means not enough money was taken out of my checks in taxes. What can I do to make this right?
2007-01-22 17:19:57 · 4 answers · asked by Justin F 1 in Business & Finance ➔ Taxes ➔ United States
No, you have it backwards. When you started work with your employer you would have filled out a W-4 form to select the number of withholding allowances. This number has no bearing on anything except to determine how much is withheld from your paycheck for taxes. If you have two allowances it merely sets a number. Once you do your income tax return, if it turns out not enough was withheld, go to your employer and ask to fill out a new W-4 form. You can select 0 if you want, but this will mean more will be deducted for taxes each pay period. To have less deducted, select a higher number. When I was single at one point I wanted to select 99, but the bookkeeper used a chart which only went up to 10 so I had to settle on 10. The Higher the number the less is withheld. If you had 2 withholding allowances more money would have been withheld than if you had 0. Make a decision as to which way to go after you figure out your tax return.
You can give a new W-4 form to your employer whenever you want, and you can probably even go to the IRS web site and download the form and take it in to work the next day. You could submit a new W-4 form every week if you wanted to be a real pain in the butt.
By the way, if you owed no federal income taxes last year and think you might own none this year, you can submit your W-4 marked "exempt" and have nothing at all withheld.
2007-01-22 17:23:10 · answer #1 · answered by Kokopelli 7 · 0⤊ 2⤋
It will depend on the amount of money you earned, as to whether or not you will owe taxes. You can try plugging in your info to a tax calculator to see if you will owe anything or get a refund. Try:
http://www.taxbrain.com/taxcalculator/default.asp
You can't do anything to fix it for last year, but you can submit a new W-4 for 2007 to your employer and change the exemptions to 0 or 1.
2007-01-23 01:24:28 · answer #2 · answered by mrjayride 2 · 0⤊ 1⤋
what happened during the year (i.e. it was done right or wrong) doesn't matter. When you do your taxes, you have to deal with actual. Where and who you live with doesn't matter. What matters is - do you parents claim you as a dependent and what did they withhold vs. what should they have withheld. Your ultimate liability will be based on that.
2007-01-23 01:26:50 · answer #3 · answered by muskrat_h8r 2 · 1⤊ 1⤋
Hopefully you didn't make a lot of money. If you owe money then change it on a w4 form for next year.
Good luck.
2007-01-23 01:23:28 · answer #4 · answered by the Boss 7 · 1⤊ 1⤋