The Saving Advice Forums - A classic personal finance community.

Why did my federal tax withholding go down?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Why did my federal tax withholding go down?

    So my first paycheck of the year my federal withholding was on par with last year. This weeks paycheck and the federal with holding is about have of what it would be normally.

    Week 1 paycheck - taxable wages $643.22, federal withholding $51.13

    Week 3 paycheck - taxable wages $640.78, federal withholding $26.39


    I don't see why a less than $3 in taxable wages would lower my federal withholding by this much.

    Any ideas why?


    I am thinking I will wait one more week, then add additional federal withholding because based on the IRS tax estimator we would be under paying by $1,239.


    What do you guys think?

  • #2
    Did you have a pre-tax change? Change in health insurance or change in retirement contributions?
    If there's no other explanation I would change your additional federal withholding.

    Comment


    • #3
      Yes my health insurance went up but less than $3 per week.

      Comment


      • #4
        they made adjustments to the tax tables

        Comment


        • #5
          I got a 5.25% raise in my second 2020 paycheck, but my Fed and State withholdings went up 8% and 7.6% from the first paycheck.

          Comment

          Working...
          X