From IRS.gov
For employees, withholding is the amount of federal income tax withheld from your paycheck. The amount of income tax your employer withholds from your regular pay depends on two things:
- The amount you earn.
- The information you give your employer on Form W–4.
For help with your withholding, you may use the Tax Withholding Estimator.
The Estimator will securely
- Estimate your federal income tax withholding
- See how your refund, take-home pay or tax due are affected by withholding amount
- Choose an estimated withholding amount that works for you
(Results are as accurate as the information you enter.)
When should I check my withholding?
Every year, especially when you have a major life change. Changes could include a:
- New job or other paid work
- Major income change
- Marriage
- Child birth or adoption
- Home purchase
Why should I check my withholding?
There are several reasons:
- It can protect against having too little tax withheld and facing an unexpected tax bill or penalty at tax time next year.
- It can let you adjust your tax withheld up front, so you receive a bigger paycheck and smaller refund at tax time.
If you do decide to change your tax withholding mid-year, check your tax withholdings at the year-end and adjust as needed with a new W-4.
If you have more questions about your withholding, ask your employer or contact us at info@hasgr.com or (616)957-2055.
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