The amount they've cut is a minor portion of what the government spends. I think that the largest line item, exclusive of Social Security, Medicare, Veterans Benefits, CHIP and related programs is the amount spent on the debt. They have repatriated a lot of monies they threatened to get, for example, $2.1 billion to Pennsylvania (because Josh sued) for environmental programs.
Thank you for this post. I often feel like the government is "ripping me off," but this post is a good reminder of what those taxes are used for. Thank you. (But also, I am not thrilled with being asked to pay $8,000 at tax time when it's something I don't have. Yes, you can pay in installments, but correct me if I'm wrong, I think you also pay interest.) I wish there were a better way of knowing what you would pay in advance so you can adjust your withholdings moving forward. Right now, I just keep increasing my federal withholdings, hoping it covers enough to reduce any exorbitant tax bill I get.
There is no interest on estimated tax payments. There IS interest if you don't pay the full amount by 15 April. If you pay withholdings on a W-2 job, use this link to determine your estimate: https://www.irs.gov/individuals/tax-withholding-estimator
It will not be as accurate if you have multiple W-2 jobs, or if you have unknown 1099 income. Also if you're required to pay the Alternative Minimum Tax.
The best thing to do is to sit down with a tax accountant. Hope this helps!
Do you want the contact information for my accountant? She tells me in the beginning of the year how much to pay quarterly. Also -- I can give you the name of a "tax planner" who looks at the most tax-advantaged way to spend down retirement savings.
Tanks for the offer but not at all necessary. I am doing fine, but one cannot predict how the Markets function creating capital gains and unanticipated dividends and interest. With der Fuehrer in charge, unfortunately that may not be a problem.
…but with all those agencies gutted and programs cancelled, where’s our tax money going?
The amount they've cut is a minor portion of what the government spends. I think that the largest line item, exclusive of Social Security, Medicare, Veterans Benefits, CHIP and related programs is the amount spent on the debt. They have repatriated a lot of monies they threatened to get, for example, $2.1 billion to Pennsylvania (because Josh sued) for environmental programs.
Thank you for this post. I often feel like the government is "ripping me off," but this post is a good reminder of what those taxes are used for. Thank you. (But also, I am not thrilled with being asked to pay $8,000 at tax time when it's something I don't have. Yes, you can pay in installments, but correct me if I'm wrong, I think you also pay interest.) I wish there were a better way of knowing what you would pay in advance so you can adjust your withholdings moving forward. Right now, I just keep increasing my federal withholdings, hoping it covers enough to reduce any exorbitant tax bill I get.
There is no interest on estimated tax payments. There IS interest if you don't pay the full amount by 15 April. If you pay withholdings on a W-2 job, use this link to determine your estimate: https://www.irs.gov/individuals/tax-withholding-estimator
It will not be as accurate if you have multiple W-2 jobs, or if you have unknown 1099 income. Also if you're required to pay the Alternative Minimum Tax.
The best thing to do is to sit down with a tax accountant. Hope this helps!
I do pay quite a bit quarterly but am often badly surprised with a substantial final total still due.
Do you want the contact information for my accountant? She tells me in the beginning of the year how much to pay quarterly. Also -- I can give you the name of a "tax planner" who looks at the most tax-advantaged way to spend down retirement savings.
Tanks for the offer but not at all necessary. I am doing fine, but one cannot predict how the Markets function creating capital gains and unanticipated dividends and interest. With der Fuehrer in charge, unfortunately that may not be a problem.
While we're at it... since fraud is illegal and President Elmo claims he has found billions in fraud, why hasn't anyone been charged with a crime?
They actually have not found ONE RED CENT. NOT ONE.
I'm on your side even though the bite at the end of the tax year is painful.
Pay quarterly, it hurts less <smile, wink>