Friday, July 15, 2011

Why did I make less, working overtime?

It is not just your overtime earnings that would be in the higher bracket. First compare your current withholdings with the overtime added to your gross to your prior check--box by box. Then go to your payroll office and ask them for a copy of the withholding tables they use to calculate your taxes, Federal, state, and local (if any). You also pay higher social security and medicare based on the higher gross, and some states withhold unemployment insurance. Your dental deduction should remain unchanged no matter how much you earn.

No comments:

Post a Comment