Took recommended W4 allowance - Still owe?

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
zimmer0
Posts: 192
Joined: Wed Oct 29, 2014 3:15 pm

Took recommended W4 allowance - Still owe?

Post by zimmer0 » Mon Mar 12, 2018 8:00 am

Married Filing Jointly
Income after deductions: $118k
Allowances: 2 on higher income, 0 on lower income
No real estate or other deductions available this year.
TX Resident
Using standard deduction this year($12700)

HR Block shows i owe $3800+ this year after inputting all information online. Everywhere i look it showed that the allowances we have elected is whats recommended for dual income filing jointly. The w2's show federal tax paid just shy of the std deduction but not $3800 short. Is this a software error or is there something that i'm missing?

tomd37
Posts: 2833
Joined: Thu Mar 01, 2007 10:39 pm
Location: Middle Tennessee

Re: Took recommended W4 allowance - Still owe?

Post by tomd37 » Mon Mar 12, 2018 8:24 am

deleted.
Tom D.

2cents2
Posts: 309
Joined: Sun Mar 02, 2014 11:31 am

Re: Took recommended W4 allowance - Still owe?

Post by 2cents2 » Mon Mar 12, 2018 8:32 am

What method did you use to arrive at your withholding amount?

tomd37
Posts: 2833
Joined: Thu Mar 01, 2007 10:39 pm
Location: Middle Tennessee

Re: Took recommended W4 allowance - Still owe?

Post by tomd37 » Mon Mar 12, 2018 8:34 am

Your calculated results for lines 38, 40, 42, and 63 might be of help in assisting you. Any entries on lines 46 or 61 pertaining to health coverage? What is line 64 amount?
Tom D.

User avatar
grabiner
Advisory Board
Posts: 22508
Joined: Tue Feb 20, 2007 11:58 pm
Location: Columbia, MD

Re: Took recommended W4 allowance - Still owe?

Post by grabiner » Tue Mar 13, 2018 9:21 pm

Did you use the two-earner/multiple-job worksheet on the W-4? If not, this explains the large tax bill. If you file a W-4 as married, tax is withheld for each of you as if your spouse had no income, and the appropriate number of exemptions applied. Claiming zero exemptions prevents your spouse from getting an allowance for the family standard deduction and exemption which you take, but it still causes some of his or her income to be withheld at 10% or 15% when it should be at 25%.
Wiki David Grabiner

Post Reply