Confused about the W-4?

Question

This is my first job and I have to fill out a W-4.

I'm single and 19 years old. My dad said he's still claiming me as a dependent. I think I was asked to fill out exemptions and the general option was a 0 or a 1. I was told that it goes all the way up to 9. If I file a 9, would I get less tax deducted out of my paycheck? My dad said he'll pay for all the taxes at the end of the year.

Answer 1

If you are in school full time and your parents claim you and will get less than $5,000 then you will not owe any federal taxes for 2008.  You could claim exempt for 2008.  You just need to make sure that you change this for 2009 if your situation changes in 2009.

$5,000 less the $5,450 standard deduction is less than zero - leaving you no taxable income.  Any income over $5,450 would be taxed at 10%, so if you made $6,450, then $6,450 less $5,450 would be taxable income of $1,000 - thus you would owe $100 in taxes.

Normally, if you are single, and your parents do not claim you, you can claim two exemptions and still be OK with taxes at the end of the year.  Sometimes, you may have to pay a small amount at the end of the year.  It all depends on what kind of deductions you have.

If you are in school full time, then your parents can claim you until you are 24 years old - if you do not provide more than one half of your own support - including room, board, car, food, tuition, books, insurance.

Answer 2

Claim 0 or 1 allowances on your W4.

Read: http://taxipay.blogspot.com/2008/02/fili... this place is good

Answer 3

You should file zero since you are a dependent.  Legally you aren't allowed to claim more allowances than you are entitled to.

Depending on how much you make for the year, it might not even matter.  You can make up to $5450 and not owe ANY tax if you are a dependent.

If you don't live at home for over half the year, or if you are not in school full time for at least 5 months of the year, your dad can't legally claim you.

Answer 4

Claim 0 or 1 allowances on your W4.

Read:  http://taxipay.blogspot.com/2008/02/fili...

Answer 5

Technically, from a legal standpoint, you are only allowed at the most one exemption.  If your father can still legally claim you as an exemption, i. e., he provides over one-half of your total support for the year, I would suggest that you claim zero exemptions on your W-4.  If your tax withheld is greater than your actual tax liability when you file next year, the excess will be refunded.

Answer 6

if you file 9, yes that will be less taxes taken out but you may end up owing taxes by the end of the year. the best thing to do is file 0 and if it asks are you being claimed as as dependent on someone elses, put yes/

Answer 7

Visit IRS website: www.irs.gov and type in Withholding Calculator

Tips For Using This Program

Have your most recent pay stubs handy.

Have your most recent income tax return handy.

Fill in all information that applies to your situation.

Estimate values if necessary, remembering that the results can only be as accurate as the input you provide.

Consult the information links embedded in the program whenever you have a question.

Print out the final screen that summarizes your input and the results, then use it to complete a new Form W-4 (if necessary), and keep it for your records.

Answer 8

Is this a full time or part time (summer) job?  How much money will you be making this year?   If you make less than $5350 you will get all your federal withholding back when you file next year anyway.  You cannot not pay taxes all year then in one lump sum if you will owe however, taxes do not work that way, you must pay at least quarterly as you go. Your W-4 should be single/0 if someone can claim you, single/1 if you claim yourself. If this is merely a summer job, then not much will be withheld anway.