Rhondito
Pearl Clutcher
MississipPea
Posts: 4,827 
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Post by Rhondito on Apr 8, 2019 17:42:08 GMT
I owed 2K this year - the most I've ever had to pay in the past was $500 or $600.
I keep thinking of all the other things I could've done with that money and it really ticks me off!
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sassyangel
Drama Llama
Posts: 7,456
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Post by sassyangel on Apr 8, 2019 17:43:33 GMT
I feel like your DH Is a realtor? Does he receive a 1099? My DH is a salaried employee who also makes commission. He receives a W2, not a 1099. I can't speak to the validity of this source, but this is a good explanation as I understand it... How Commission is TaxedThat article made it sound like the withholding is larger but not necessarily your taxes. I believe the the highest effective tax rate is 37% which is for people making over $500,000 a year. My company taxes my bonuses at 40%. I definitely don’t make anywhere near that much, lol. |
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Post by beaglemom on Apr 8, 2019 17:52:04 GMT
We owe lot. We knew it was going to be a large amount. But it is insane. We are talking about the price of a house in the midwest. Owning two homes in the Bay Area and paying property taxes on them and not being able to write that off just hosed us. Fingers crossed the old house sells soon.
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Post by cadoodlebug on Apr 8, 2019 18:08:34 GMT
That article made it sound like the withholding is larger but not necessarily your taxes. I believe the the highest effective tax rate is 37% which is for people making over $500,000 a year. My company taxes my bonuses at 40%. I definitely don’t make anywhere near that much, lol. They WITHHOLD 40% but that is NOT what you pay the government. Big difference! |
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sassyangel
Drama Llama
Posts: 7,456
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Post by sassyangel on Apr 8, 2019 18:17:02 GMT
My company taxes my bonuses at 40%. I definitely don’t make anywhere near that much, lol. They WITHHOLD 40% but that is NOT what you pay the government. Big difference! It actually is in our case, or in reality it just saves us from owing more. 😂 The difference between what they withhold and what we’d actually owe based on our tax rate, just reduces a bit what we’d pay in. Which yes, it’s still ours cause we benefit from it in the end, but it’s just tax semantic math, IMO. I think they pick 40% across the board, because we do have some high level execs that are probably paying the highest tax rate on theirs, due to their incomes in that range. |
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Post by gale w on Apr 8, 2019 18:18:17 GMT
It's hard for us to tell, because our income varies so much from year to year, but the accountant said we made out better after the new tax laws even though we lost a dependent in 2018. We are far from top 1%.
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Post by beepdave on Apr 8, 2019 18:24:44 GMT
I posted this on an earlier thread:
I just looked at the report that TaxAct creates to compare last year to this year.
We had $1,070 less W-2 income than last year.
Husband's Uber business had $1,799 more business income, so our total income was $729 over last year.
Our AGI was $596 more than last year.
We had $11,300 more in standard deductions. (We have always taken the standard deduction.)
Our total tax was $1,171 less than last year and we had $1,344 less withheld. Our refund was $173 less than last year, but still over $2000.
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Post by beepdave on Apr 8, 2019 18:29:16 GMT
Also - we owed just under $1200 on 2014's taxes (paid in 2015) and the interest was not bad at all, hardly noticeable. We paid $100 a month - first payment was sent when I filed the taxes in April and the first direct debit was in June. We paid monthly until our refund was calculated for the next year, and they took the balance from it at that time (about $400.)
Don't be afraid to set up the payment plan. It was very easy to do online. I was so stressed at the beginning, but it worked out in the end.
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Post by mags243 on Apr 8, 2019 21:09:29 GMT
In the 19 years my husband and I have been married, this is the first year we have ever received a federal refund. We did have to pay state taxes, but it wasn't too much.
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Post by buddysmom on Apr 8, 2019 21:19:05 GMT
The thing to compare is the "effective" tax rate.
Turbotax shows it for the prior five years.
Most people's earnings aren't exactly the same each year but with that you can compare last year's rate to this year's rate.
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Peal
Pearl Clutcher
Posts: 2,524
Jun 25, 2014 22:45:40 GMT
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Post by Peal on Apr 8, 2019 21:29:11 GMT
We owe Federal, but we pretty much have since our kids started aging out of the child tax credit, we lost number two last year, just one left. And we will lose a dependent next year as we are cutting our oldest loose so he can take advantage of the tuition credit.
But, we are getting a nice refund from the state, which makes up for all but $300 of our federal bill. We are still fine tuning our withholdings.
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Post by Spongemom Scrappants on Apr 8, 2019 22:02:26 GMT
I withheld the highest single rate cause I didn't have a choice and I still owe way more than anticipated. For next year, we ended up withholding a significant amount from the rest of DH's paychecks for the remainder of the year to avoid owing so much next year. We divided the total of what we owed this time by the number of paychecks left in the year to arrive at the amount. It was easier to just do it from that one income source than try to figure it across all of them. |
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Post by Sharon on Apr 8, 2019 22:18:23 GMT
We got a refund for the first time in years. Our liability was much less this year.
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Post by BSnyder on Apr 9, 2019 1:28:34 GMT
We had $7000 extra pulled out of our checks. Weren’t able to itemize, so we lost a huge tuition credit among other things. Although we got about $1,000 back between state and local, that is substantially less than last year and this is the final year we can claim DD as a dependent. Next year is really going to hurt.
Thank goodness we have the largest tax relief in history. (Said dripping with sarcasm and a huge 🙄) We are so happy to be a part of the middle class, able to subsidize everyone else’s lifestyles, but getting no breaks ourselves.
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Post by 950nancy on Apr 9, 2019 4:07:59 GMT
We both upped the amount taken out for taxes this year and I think we'll owe 11k. We will end up paying a lot more than in the last few years. We were thinking it would be closer to 4 or 5k.
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seaexplore
Prolific Pea
Posts: 8,840
Apr 25, 2015 23:57:30 GMT
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Post by seaexplore on Apr 9, 2019 4:40:22 GMT
We were prepared to pay out the ass like usual but this year we got back almost everything we paid! I’m a teacher and DH is a SAHD. Our accountant is magical!
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Post by ladyinpink1969 on Apr 9, 2019 11:09:57 GMT
We just received our final piece of information needed to file taxes. They usually get it to us by the end of March and this year we got it April 6th. Calling it a little close. We find out Wednesday what we owe. Do you know that all tax documents must be postmarked by January 31st? |
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teddyw
Drama Llama
Posts: 7,123
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Post by teddyw on Apr 9, 2019 11:15:55 GMT
I did my taxes a week ago. We have always broke even. This year, we owe $3,000. We are fortunate that we have it. I wanted to mail it last week, but DH wants to wait until the last day. My dh always wants to pay as soon as we file but I make him wait til the last minute. This is the first time in a while that we haven’t paid. Although he mentioned in passing that the school I sometimes work at didn’t take local or state taxes out😳. No idea why. They’re located in the same town as us. So I’m sure I owe something there. |
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Post by Darcy Collins on Apr 9, 2019 13:11:47 GMT
We just received our final piece of information needed to file taxes. They usually get it to us by the end of March and this year we got it April 6th. Calling it a little close. We find out Wednesday what we owe. Do you know that all tax documents must be postmarked by January 31st? K-1s don't need to be sent by January 31st. |
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Deleted
Posts: 0
Nov 2, 2024 7:25:42 GMT
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Post by Deleted on Apr 9, 2019 14:04:55 GMT
We just received our final piece of information needed to file taxes. They usually get it to us by the end of March and this year we got it April 6th. Calling it a little close. We find out Wednesday what we owe. Do you know that all tax documents must be postmarked by January 31st? That's true for most forms. But there is no penalty for sending them out late. Real estate forms do not have to be out until mid February. Ditto with brokerage consolidated 1099's. |
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Post by cakediva on Apr 9, 2019 14:10:57 GMT
Our system is different here in Canada, but we just got ours done as well.
DH gets a very small sum back - like $250, but we will take it! He's always had to pay in the past.
I, on the other hand, have to pay again this year. Almost twice what I had to pay last year. But that means my business is doing well. And it isn't actually income tax, it is the Canada Pension Plan portion that I would have had to pay if I was having deductions made with being employed by somebody else. So someday, if I retire, I might actually get a bit of a pension (if there is any fund left lol).
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julie5
Pearl Clutcher
Posts: 3,611
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Post by julie5 on Apr 9, 2019 14:23:51 GMT
Do you know that all tax documents must be postmarked by January 31st? That's true for most forms. But there is no penalty for sending them out late. Real estate forms do not have to be out until mid February. Ditto with brokerage consolidated 1099's. We usually don’t get all of our paperwork until mid March. And we file an extension every year. This year I’m actually ready before April 15 but we won’t be at the accountants by then. |
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Post by 950nancy on Apr 9, 2019 16:01:19 GMT
We just received our final piece of information needed to file taxes. They usually get it to us by the end of March and this year we got it April 6th. Calling it a little close. We find out Wednesday what we owe. Do you know that all tax documents must be postmarked by January 31st? For some reason, this particular one does not. it is from Boston Capital. Our tax guy told us years ago why this one would arrive later than the rest. I can't remember why. We have three separate accounts with them and they start arriving in mid March. We've had them for over 20 years. |
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Post by allison1954 on Apr 9, 2019 16:21:19 GMT
We just received our final piece of information needed to file taxes. They usually get it to us by the end of March and this year we got it April 6th. Calling it a little close. We find out Wednesday what we owe. Do you know that all tax documents must be postmarked by January 31st? That isn’t true K1s are due March 15, I think it is when the entities tax deadline is. And if they file an extension, it can even be later |
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Post by 950nancy on Apr 9, 2019 16:35:50 GMT
Do you know that all tax documents must be postmarked by January 31st? That isn’t true K1s are due March 15, I think it is when the entities tax deadline is. And if they file an extension, it can even be later I just checked and this is what Boston Capital sends us. I will say that this year it was sent to us in April. In my eyes, that is too late. |
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Post by ladyinpink1969 on Apr 9, 2019 18:33:11 GMT
That isn’t true K1s are due March 15, I think it is when the entities tax deadline is. And if they file an extension, it can even be later I just checked and this is what Boston Capital sends us. I will say that this year it was sent to us in April. In my eyes, that is too late. I was thinking about regular tax documents and thinking that’s a hell of a long time to be waiting. Of course, not thinking about other tax documents. Yes, other documents are later. My bad. 😊 |
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Post by Zee on Apr 9, 2019 18:44:05 GMT
For the first time ever, we owe. $1200.
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scrappinmama
Drama Llama
Posts: 5,050
Jun 26, 2014 12:54:09 GMT
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Post by scrappinmama on Apr 9, 2019 19:44:40 GMT
I withheld the highest single rate cause I didn't have a choice and I still owe way more than anticipated. For next year, we ended up withholding a significant amount from the rest of DH's paychecks for the remainder of the year to avoid owing so much next year. We divided the total of what we owed this time by the number of paychecks left in the year to arrive at the amount. It was easier to just do it from that one income source than try to figure it across all of them. I was thinking of doing the same thing. We already have our withholdings set to 0. But I know we will lose a child tax credit next year, so we will probably end up owing more than $4000 next year. It will sting less if I spread that out over the remaining paychecks for this year. I don't want a refund. I just want to break even. |
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Post by utmr on Apr 9, 2019 20:35:12 GMT
Our final K1 arrived at the beginning of April. They are a hassle until you get used to them and know to watch/wait for them.
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Post by 950nancy on Apr 9, 2019 20:50:38 GMT
I just checked and this is what Boston Capital sends us. I will say that this year it was sent to us in April. In my eyes, that is too late. I was thinking about regular tax documents and thinking that’s a hell of a long time to be waiting. Of course, not thinking about other tax documents. Yes, other documents are later. My bad. 😊 Thankfully we get all of those on time. |
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