Is it true the irs deducts 10% of your paycheck each pay period for a single tax payer with 01 allowances.?

Question

Does the employer deduct this amount each pay period, then report it, because I feel like too much has been deducted from my paycheck.

Answer 1

How much is taken from your paycheck depends on two things: The filing status and exemptions you claim on your W-4 and your income.

If you claim single with no exemptions, you will have more withheld than if you claim married with five exemptions.

As far as the amount withheld - a taxpayer who earns $100,000 a year and claims single zero will have alot more taxes taken out than a tax payer who earns $15,000 a year and also claims single zero.  As your income goes up, your tax bracket goes up, so a higher percentage is withheld from your paycheck.

For a look at the actual calculations, got to www.irs. gov and find Publication 15 with has the withholding tables in it.

Answer 2

No, it is not true.  You determine your withholding with the W-4 you file with your employer.

Answer 3

No, that isn't how it works.  See IRS publication 15 if you want to see the formula.  (If you make up to X, it's 10%, above X and below Y, it's 15%, then 25%, then...)

Alternately use www.paycheckcity.com to compare your paycheck with the formula.

Answer 4

You determine your withholding with the W-4 you file with your employer.

If you put in your W-4 : Single, without dependent. Your elployer is going to withhold more money to pay taxes, because, you are supporting just yourself, as your show in the w-4.

But, if you claim married with 1 or 2 or wherever number of depdents, your employer is going to withhold less money, because you are supporting those people.

But, be careful, because, the idea is , if you are claiming 4 or 5 depdents in your w-4, the same number of depedent you need to claim in your tax return.

If you claim in your w-4 cero depdents just yourself, your employer is going to withhold more money, and then if you claim in your tax return ... like 4 dependents and Married filing jointly. Probably you are going to get a refund.

But if you claim 6 dependents in your w-4, and then when you file your taxes, you claim just you and other dependent, you probably are going to end paying taxes, because you did not pay enough in the tax year.

I hope you can understand my explanation.

Answer 5

The amount the employer withholds depends on how much you make in that pay period - it might  be more, or less than, 10%.  The employer remits the amount to the IRS on a regular basis, then reports it to you pn your W-2 and to the IRS at the end of the year.

Answer 6

It depends on how much you make as to the percentage the irs takes.  Lower incomes pay less percentages, but remember this,  when Obama gets the Bush tax cuts repealed, it will be an automatic tax increase for everyone, no matter how the Dems try to sugar coat it!