With-holdings

bobm

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Just as a heads up .... My wife volunteers to prepare taxes for those customers through American Association of Retired People, that can't afford to pay to have their tax returns prepared. Since there has been changes in the tax code, some folks will get a nice refund from their with-holdings. However, almost half will have to pay their additional taxes due out of pocket due to the fact that many did not ask their employer to deduct sufficient amount from their pay check. Also, many of the customers are not aware that if they do not sign up for obamacare, or have it lapse, there is a provision in the law that there are penalties and interest added to their tax bill. Poopy pants time ! If you know of anyone in a similar situation, it would be wise of them to remedy the situation sooner than later to avoid similar situation for next year.
 

catjac1975

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I have many friends who use their tax refund as a way to put aside money for 1 special thing, or for a bit of an emergency fund. I know that is economically unsound but that is how many middle income people do it. My friends are all complaining that the nest egg did not come, but instead they are having to pay. We raised all of our withholdings trying to avoid this. I got an extra $100. a month from the "tax cut" which it is looking like I will now have to return. We'll see when the taxes are complete. What a wonderful thing your wife is doing.
 

flowerbug

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I have many friends who use their tax refund as a way to put aside money for 1 special thing, or for a bit of an emergency fund. I know that is economically unsound but that is how many middle income people do it. My friends are all complaining that the nest egg did not come, but instead they are having to pay. We raised all of our withholdings trying to avoid this. I got an extra $100. a month from the "tax cut" which it is looking like I will now have to return. We'll see when the taxes are complete. What a wonderful thing your wife is doing.
i'm going through the usual routine here today. none of what @bobm applies to us (we don't have to file or have withholding nor are we covered by the ACA) - yet i have to run the numbers anyways to get the property tax credit form filled out.

i haven't gotten to the state forms yet, but they are usually ok and mostly follow the fed so i hope to have this done soon.
 

bobm

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i'm going through the usual routine here today. none of what @bobm applies to us (we don't have to file or have withholding nor are we covered by the ACA) - yet i have to run the numbers anyways to get the property tax credit form filled out.

i haven't gotten to the state forms yet, but they are usually ok and mostly follow the fed so i hope to have this done soon.
Please explain WHY you don't file or are covered ??????????
 

flowerbug

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Please explain WHY you don't file or are covered ??????????
i don't make enough above the deductions for either state or federal so there is no need for me to file and there is an exemption for ACA penalties for people who don't file for that reason.

i live a very simple life.
 

sumi

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O.K. you all, let's keep this discussion nice and friendly now, please.
 

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