Vision Payroll

May 29, 2009

Question of the Week: How Does an Employee Increase the Amount of Federal Income Tax Withholding?

This week’s question comes from Burt, an office manager. An employee filled out a Form W-4 and now is not having any federal income tax (FIT) withheld from his check. He wants to have $20 withheld each week since he thinks he’ll owe about $1,000 in FIT. How does an employee increase the amount of FIT withholding? Workers who wish to adjust their withholding should file a revised Form W-4, Employee’s Withholding Allowance Certificate or its Spanish equivalent, Formulario W-4(SP), Certificado de Exención de la Retención del Empleado to adjust their withholding. Line 6 may be used to increase the amount withheld for FIT from each paycheck. If the employee files Form W-4 and claims the same exemption and enters $20 on line 6, $20 will be withheld each paycheck unless earnings increase such that FIT must be withheld. In that case, the withholding will be the calculated amount, plus $20. Contact Vision Payroll if you have any question on FIT withholding.

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