It’s Here – Time To Adjust Your 2018 Withholding

March 02, 2018

For many you have been waiting. For others, you have not thought about it. But for everyone who receives a W2 from your employer, meaning you have federal taxes withheld, you need to review and likely change your taxes withholding.

In very late 2017, the US Congress passed major tax reform legislation. This was passed literally hours before Christmas. These new changes will affect almost everyone.

The IRS online tools has been down since January 1 while programming changes were made to reflect the new tax rates. That updated tool became active yesterday.

Now is the time to use the tool.

You will need the latest paystubs for you and your spouse. Follow the instructions from page to page and enter the information relevant for you. In the end and based upon the information you entered, the system will tell you and your spouse what to change your withholding. to.

NOW IS THE TIME to do this. Feel free to run the tool multiple times and make sure you are getting similar results.

By making the correct changes to your employer using a new W4, you will be on track to not owing and NOT getting a big refund. You will be bringing more income in each pay if you were on track to get a refund.

Put on your calendar to rerun the tool (after you make the changes) in late April, late June, late September and late November.

Do this now. Click here to be taken to the IRS site.

About the Author

After many years of coaching others in the workplace, Parkey Thompson decided to follow his passions and focus on providing personal financial coaching, strategic planning and direction setting to individuals, families, religious organizations and small businesses by starting Financial Focus. Throughout his personal and professional life, Parkey has experienced first-hand and overcome many of the challenges he now helps others navigate on a daily basis. For over twenty years, Parkey held various leadership positions across multiple companies, including companies such as General Electric and IBM. In 2005, he thoughtfully decided to use his leadership skills to help others significantly improve their own personal finance, career, life, and business financial situations. Parkey is a certified financial coach, compassionately helping his clients navigate through challenging financial and life decisions on a daily basis . He is a Sunday School teacher, volunteer and has served on several boards / committees. He enjoys passionately motivating and helping families, individuals, businesses, and churches envision and achieve their dreams. In addition to Financial Focus, Parkey is a contributing financial writer to local magazines and newsletters, a former frequent guest on “Mornings” with Lorri Allen and Larry Estepa on the FamilyNet TV and radio network, and a radio contributor to Family Life Radio's Intentional Living program. More than anything, Parkey and his family live what he teaches others. Parkey and his family are debt free and live without credit cards and on a plan! Parkey and his wife, Lisa, live in Cumming, Georgia and are newly empty nesters. They three have three children – Kayla (and husband Micah), Morgan (and husband Ryan) and Micah.