What is allowances mean on Tax data section of pay sub. what it mean if ,it says that allowance is 7?

Question

What is allowances mean on Tax data section of pay sub. what it mean if ,it says that allowance is 7?

Answer 1

That is how many allowances you claimed on your W-4 form.  It is not necessarily the same as exemptions you claim on your 1040.  You might have more allowances based on dependents, EIC, home mortgage/property tax deductions, etc.

See instructions on W-4 form at irs.gov to see if that is a correct number of allowances.

Answer 2

It means you put down 7 when you filled out your W-4.

This is possible if you have children under the age of 17 as you get 2 allowances per child.

The more allowances you have, the less is withheld for income tax.  You, of course, will reconcile what was withheld with what you actually owe when you file your tax return.