IRS Tax Withholding Estimators
Individuals
If you are an employee, your employer probably withholds income tax from your pay. Tax may also be withheld from certain other income — including pensions, bonuses, commissions, and gambling winnings.
Employers
Employers are required by law to withhold employment taxes from their employees. Employment taxes include federal income tax withholding and Social Security and Medicare Taxes.
Foreign Persons
Most types of U.S. source income received by a foreign person are subject to U.S. tax of 30 percent. The tax is generally withheld (Non-Resident Alien withholding) from the payment made to the foreign person.
Related: New IRS 401k Contribution Considerations
The IRS has recently increased the minimum IRA contributions and employer matching contributions available for certain age groups.
If you're over 50 and looking to put away more money for retirement, you should know about some key rule changes coming in 2025. Under the terms of the 2022 Secure Act 2.0, 401(k) catch-up contribution limits are going up.
Workers aged 60 to 63 can contribute $10,000 or 150% of the catch-up limit to their savings; workers over 50 can contribute an extra $7,500.
About 15% of eligible workers made catch-up contributions to their 401(k)s last year, but 40% are behind in retirement savings.
We are here to help you with IRAs , tax planning, tax compliance, and much more.
Contact us to help determine the best mix of contributions and withholdings to help you reach your unique goals in the best manner possible.
