Check your 2018 Federal Income Tax Withholding Before it’s Too Late
Tax reform happened in America during early 2018. The government changed the tax brackets, numerous credits and deductions have been tweaked and numerous other changes have occurred.
Most people will see their overall tax liability go down and again most people have seen an extra bump in their pay as employers are reducing the amount of federal income tax withheld.
However, there are reports that the government is concerned that employers aren’t withholding enough federal income tax from their employee pay. This will cause those employees to owe money at the end of the year.
Employees need to check their withholdings now, so that if necessary, there is time to make changes prior to year-end. The IRS has a withholding calculator which taxpayers can use to see if they are withholding enough. IRS Withholding Calculator
If they are not, the taxpayers can file a new W-4 with their employer.
I highly suggest you take a look now before it’s too late.
Let us know how we can help. Give us a call at 260-407-5000
Brent Bracht, CPA