W-4 - Federal, State Tax Withholding Amount

Should my IRS or federal and state withholding amounts be the same? How to submit IRS and state tax withholding forms?

Article, Solution:

If you have one job at any given time, you can enter the same information on your state tax withholding form as you are doing on your federal or IRS tax withholding form. The per pay period withholding will most likely vary some. See our state tax page for state resources.

In general, since state taxes are lower than federal taxes, you will likely withhold less money per paycheck for state taxes than you would for federal taxes.

We at eFile.com understand the confusion of the Form W-4; that is why we have created four easy W-4 creator tools for free. Use our W-4 tools to prepare and generate a W-4 to give to your employer:

Start My W-4 Now

If you wish to prepare the W-4 manually, go to this paycheck calculator and also open the latest W-4 Form.

As you go through the paycheck calculator, enter the information as you plan it to be or how it actually is. At the end, you will see the tax withholding amount based on your selected pay period.

At the end of the tool, you will get a list of recommendations on how to adjust your W-4 entries to either increase or decrease your pay period tax withholding amount. Make the recommended changes and keep monitoring the results. You can keep submitting W-4s to your employer for each new pay period if you wish.

The most important considerations are your Tax Return goals for your next tax return. Estimate your next return with this tax calculator so you know how the given tax withholding will impact your next tax return.

Watch the video on this page about tax return planning and tax withholding.

Consider preparing and e-filing your taxes on eFile.com; we want you to keep more of your hard-earned money. Start with the Free Federal Edition and, for more complicated returns, use tax promo code get25Fast during checkout for a 25% discount. 

If you eFile your taxes on eFile.com, we are able to assist you better on this and your taxes via your eFile.com personal support page. Contact us here if you have more questions.

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