The W-4 FormThe W-4 form tells your employer the withholding rate for your pay.

You must claim your filing status:single, married, or married but withhold at the higher single rate.

If you want no taxes withheld, then claim yourself as a student.Otherwise, you can claim anywhere from 0 allowances to 15 allowances.

The more allowances you claim, the less money is withheld..

Withholding Comparisons - $785 Per Week

Single 0 Single 5 Married 0 Married 5

Gross Pay 40,820 40,820 40,820 40,820

Taxes Withheld 5,356 2,132 3,328 676

Net Pay 35,464 38,688 37,492 40,144

The W-2 Form101-33-1726

20-3035285

Apex, Inc131 5th AvenueNew York, NY 10021

Gary Gaines127 West 18th StreetApt 3CNew York, NY 10001

31,245.65

31,245.65

31,245.65

2,835.41

1,937.23

453.06

NY 20-3035285 31,245.65 1,047.22 31,245.65 944.73 NYC

2009

Filing StatusSingle

Head of Household

Married Filing Jointly

Married Filing Separately

Qualifying Widow (er)

(S) Unmarried at the end of the year and have no dependents.

(HH) Unmarried at the end of the year but have a dependent.

(QW) You were widowed in the previous 2 years, and have a dependent child.

(MFJ) Married at the end of the year and lived with your spouse.

(MFS) Married at the end of the year and lived apart from your spouse.

The Basic Parts of a Tax Form

Gross Income

+/- Adjustments

= Adjusted Gross Income (AGI)

- Standard or Itemized Deduction

Single 5,700

Married FilingJointly 11,400

Married FilingSeparately 5,700

Head ofHousehold 8,350

QualifyingWidow(er) 11,400

Standard Deductions

- Personal Exemptions3,650 foreach personon tax return.= Taxable Income

Tax Liability

- Tax Payments Made

= Refund or Amount Due

Federal Tax Liability Comparisons

Single 0 Single 5 Married 0 Married 5

Gross I ncome

Adjustments

AGI

Standard Deduction

Exemption

Taxable I ncome

Tax Liability

Tax Withheld

Ref und/ (Amount Due)

Single 0 Single 5 Married 0 Married 5

Gross I ncome 40,820

Adjustments 0

AGI 40,820

Standard Deduction 5,700

Exemption 3,650

Taxable I ncome 31,470

Tax Liability 4,303

Tax Withheld 5,356

Ref und/ (Amount Due) 1,053

Single 0 Single 5 Married 0 Married 5

Gross I ncome 40,820 40,820

Adjustments 0 0

AGI 40,820 40,820

Standard Deduction 5,700 5,700

Exemption 3,650 3,650

Taxable I ncome 31,470 31,470

Tax Liability 4,303 4,303

Tax Withheld 5,356 2,132

Ref und/ (Amount Due) 1,053 (2,171)

Single 0 Single 5 Married 0 Married 5

Gross I ncome 40,820 40,820 40,820

Adjustments 0 0 0

AGI 40,820 40,820 40,820

Standard Deduction 5,700 5,700 11,400

Exemption 3,650 3,650 7,300

Taxable I ncome 31,470 31,470 22,120

Tax Liability 4,303 4,303 2,901

Tax Withheld 5,356 2,132 3,328

Ref und/ (Amount Due) 1,053 (2,171) 428

Single 0 Single 5 Married 0 Married 5

Gross I ncome 40,820 40,820 40,820 40,820

Adjustments 0 0 0 0

AGI 40,820 40,820 40,820 40,820

Standard Deduction 5,700 5,700 11,400 11,400

Exemption 3,650 3,650 7,300 7,300

Taxable I ncome 31,470 31,470 22,120 22,120

Tax Liability 4,303 4,303 2,901 2,901

Tax Withheld 5,356 2,132 3,328 676

Ref und/ (Amount Due) 1,053 (2,171) 428 (2,225)

Being a Dependent vs Not Being a Dependent

Assume you get paid $250 a week, and you worked a total of 50 weeks during the year.

Single Student Single Student Single 0 Single 0 Single 1 Single 1

Not a Dep Dependent Not a Dep Dependent Not a Dep Dependent

Gross I ncome 12,500 12,500 12,500 12,500 12,500 12,500

Adjustments 0 0 0 0 0 0

AGI 12,500 12,500 12,500 12,500 12,500 12,500

Standard Deduction 5,700 5,700 5,700 5,700 5,700 5,700

Exemption 3,650 0 3,650 0 3,650 0

Taxable I ncome 3,150 6,800 3,150 6,800 3,150 6,800

Tax Liability 315 680 315 680 315 680

Tax Withheld 0 0 700 700 250 250

Refund/ (Amount Due) (315) (680) 385 20 (65) (430)