IRS Form W-4 Paper Version 2019


Today I’m gonna talk about the w-4 for
2019 the paper version I’m finally gonna do the paper version before I do the
online version and stay to the end because if you’re doing the paper
version you’re definitely missing out on reducing your overall tax liability and
really controlling your taxes if this is your first time at our channel or you
haven’t subscribed click on the subscribe button at the bottom my name
is Travis Sickle CERTIFIED FINANCIAL PLANNER with Sickle Hunter Financial Advisors After all this time I finally figured out how to get this to work on
my iPad so we’re gonna go through today and let’s begin so this is the w-4 for
2019 now if you don’t have it I’m gonna show you where the link is right here
and you can just go to it it’s IRS gov for slash Form w-4 and if you go there
you can get yourself a copy of the w-4 and follow along now the directions here
at the top give you a brief overview of how to fill out the w-4 but I do want to
point out now at the very top of the first page are the directions on how to
start and fill out the w-4 but I do want to point out that they make a reference
to the online version the online calculator numerous times and there you
have it the w-4 app it’s right there it’s right here and it is also right
here as well probably somewhere else as well probably in a few other places I
can find it maybe not but the w-4 the app is right there I highly recommend to
do the app because it makes it so much simpler and it’s why would you do to any
other way but anyways let’s go ahead and continue so the section down here is the
only part the only portion that you’re going to give to your employer in fact
the IRS doesn’t even get this page only your employer does and they’re just
going to take this information to make sure that they give it to payroll who is
then going to process it and give you the correct withholdings it’s all your
basic information but we will come back and fill out sections five six and seven
those are really the three main parts that we’re going to fill out everything
else here is just your information so let’s go ahead and scroll
down a little bit further now this is the page that you want to start with
this is the personal allowances worksheet so what the personal
allowances worksheet let’s go ahead and get started on line a enter one for
yourself so we’re gonna start here line a enter one for yourself go ahead and
put a 1 put one right there then we’re gonna go ahead and look at line B enter
one if you will file as married filing jointly in this scenario that we’re
gonna run today I am going to do it as married filing jointly so let’s put a 1
there if you’re not married filing jointly put 0 or leave it blank it
doesn’t matter this is this sheet is only for your reference that’s that’s
the only reason that you’re gonna have this you’re not going to turn this in
line see enter one if you will file as head of household we will not so we’re
just going to go ahead and put a line put a 0 put whatever you want on line D
enter 1 if any of these 3 applies so the first bullet is you are single we are
not or married filing separately we’re not that either and have only one
job well in our scenario we’ll have only one job so I’ll underline it just for
reference and we’ll put a 1 now if you had multiple jobs you would put 0 the
second line there is you’re married filing jointly have only one job and
your spouse doesn’t work now let’s take a look at line D enter one if you’re
single or married filing separately and have only one job none of those apply to
us so we’re gonna go to the second one or you’re married filing jointly have
only one job and your spouse doesn’t work so for our example that’s one we’ll
check off because we are married filing jointly will have only one job and our
spouse doesn’t work so we’re gonna put a 1 there in the third if neither of those
applied and you look at the third bullet your wages from a second job or your
spouse’s wages or the total of both or $1,500 or less then you would again put
a 1 there but we’re not so we’re just going to move on for this example we’re
not going to have any children so child tax credit we’re gonna skip that but if
you do have children and you do want to fill this out and your total income just
read the it’s if your total income will be less
than seventy one thousand two hundred and one dollars enter for for each
eligible child now since we’re married filing jointly and if it’s a hundred
three thousand three hundred and fifty one right there if married filing
jointly if it’s that number or less enter for for each eligible child so if
you have to be children go ahead and enter 12 to 8 and if you have one child
enter four and for this example we’re going to enter zero because we’re not
gonna have any children in this example so child tax credit that’s what you
would do there now as you can see in that second bullet the amount that you
could take for the child tax credit decreases the more money you earn so if
you earn over the seventy one thousand two hundred and one but less than seven
hundred and seventy nine thousand fifty dollars or this threshold right here if
you’re married filing jointly which is a hundred and three thousand to three
fifty one two three hundred and forty five thousand eight hundred and fifty
then you’re only going to enter in two for each eligible child so it’s two four
six so on and so forth and if it’s your incomes even higher than that if it’s
one hundred and seventy nine fifty one to two hundred thousand or for married
filing jointly three hundred forty five thousand eight hundred and fifty one to
four hundred thousand so four hundred thousand is the child tax credit phase
out the complete phase-out at four hundred thousand enter one for each
eligible child if you make over four hundred thousand dollars as a household
married filing jointly then you do not qualify for the child tax credit and you
would enter in zero as you can see in the next bullet if you if your total
income will be higher than two hundred thousand or four hundred thousand if
married filing jointly and there’s zero so we’re just going to enter zero
because again for this example no kids now for wine F credit for other
dependents now if you do have other dependents go ahead and enter in line F
four credits for other dependents if not go ahead cross it off put zero move on
now we’re gonna take a look at line g– o– their credits now this is a big one
if you do have other credits you’re gonna want to take a look at this i’m
not going to go into in this particular video
let me pull up some of the credits that you can consider if you’re looking for
items for line G so here’s the 2018 version for the worksheet 1-6 and I’m
gonna see if I can zoom in here if you’re taking a look you could see the
child tax credit child for other dependents credits for the elderly or
disabled credits for children and dependent care expenses education
credits adoption credits foreign tax credits retirement savings contribution
credits that’s three that’s the savers credit and nine we have earned income
credit or a premium tax credit for health care so you have all these
different credits that can make adjustments to your overall income and
change the outcome of your w-4 so you want to take a closer look at the other
credits but for this example I’m not going to go through those other credits
and if we jump down so I’m going to put a line there if we jump down to line H
this is where we’re going to put our answer so we’re going to add this up and
we have three so we have one here two here three there there you go line 3h
now this next section is deductions adjustments and additional income
worksheet now the big thing that changed here was the standard deduction increase
to twenty four thousand four twenty eighteen and now you can see that it’s
twenty four thousand four hundred for 2019 that’s married filing jointly and
you can see what it is for singles and head of household so these standard
deductions increase significantly in the 2017 tax cuts and Jobs Act so much that
I think if the number is like 19 million less people are gonna have to file or
itemize their deductions so it’s really simplifying the whole process now if
you’re still one of those people who are gonna itemize then you want to fill out
this section otherwise skip it and go on if you’re not going to itemize so if you
don’t have over twenty four thousand four hundred dollars and itemized
deductions then you’re just going to take the standard deduction so now that
we have our answer on line H we can go back up here and we can fill this
section out so we’re going to go ahead and put our name so I’ll put Travis
circle your social security numbers your zero 0 – 0 0 – 0 0 0 0 and your home
address 1 2 3 this street Tampa Florida 3 3 6 so it’s you now for section 3 you
want to check off that we’re married married filing jointly of course if
you’re singles check that off and in line 5 that’s where you want to put our
answer so we are going to head and put number 3 3 is the amount of allowances
that’s lying 5 6 is any additional amounts you want withheld from your
paycheck for this example we are not going to withhold anything additionally
because we’re putting in a number 3 therefore the allowances now remember
with allowances when you’re talking about allowances the higher the
allowances the bigger your paycheck because we’re withholding less so we’re
putting less aside for taxes now this doesn’t actually change your tax
liability at the end of the year if you’re paying it now or at the end of
the year that number is going to be exactly the same and for line 7 since we
have an for line 7 since we will have to withhold we’re just gonna go ahead and
put a line there because we are not exempt so go ahead and sign it put the
date and then put an 8 9 and 10 these boxes down here 8 9 and 10
you’re either you or your employer can fill those out just give it to your
employer they’re probably gonna put the home office address the date you started
employment and their AI n the employers AI n is basically the same as your
social security it’s just for the business so they will have that if you
do not so don’t worry about it that’s all you need to do just cut it right
here rip it off you can make a copy for your records but give this to your
employer and they’ll be able to make the adjustment in order to make sure that
your withholding the correct amount now I did the paper version and I didn’t go
into the two jobs worksheet because we only had one job in this example which I
can do for another video but the thing that you want to
understand it’s going through this it only goes over the amount of allowances
it doesn’t give you any idea of what your tax liability is actually going to
be or the size of your paycheck that you’re going to get which you can
estimate from the online version so let me go over the 2019 version really
quickly if the online version and you’re going to see that it’s going to be the
same but it’s going to give us a little bit more information so married filing
jointly no dependents click continue and I’m just going to zoom through this so
you can see we’re gonna put a hundred and thirty thousand for the income no
bonuses and I’m gonna put one thousand four hundred and seventy-six for the
withholding is your a date you can get that from your pay stub so if it’s done
correctly that’s what it’ll be otherwise put whatever the withholdings are and it
will give you an accurate answer click continue we’re taking the standard
deduction now you can see right here there’s your three allowances same
amount as before but here’s the extra information we know that our total tax
liability is going to be fourteen thousand nine hundred and forty nine
dollars or that’s the estimate based on the information that we put into the
calculator so if we did have other credits or other deductions like 401ks
IRAs or all those other credits I talked about before that’s going to adjust the
amount that’s needed for the withholdings and this is a much quicker
way to do it so if you just do the paper version you’re only going to get the
answer you’re not going to get the actual tax liability and that is a huge
benefit because if you can figure out how much your taxes are going to be and
what your paycheck is going to be then at that point you can take some of that
money and you can pay off debt or you can save it there’s other things that
you can do with the extra dollars that you’re getting in your paycheck rather
than getting a huge refund at the end of the year so if you’re making these
adjustments the online calculator is the best way to do it and that’s exactly
what the IRS says so anywhere that you’re reading online they’re adding to
it all the time they want you to do the online calculator because it’s way
easier to do and especially as your situation gets more complicated then the
calculator becomes even more valuable and more power
if you want to see other versions let me know in the comments down at the bottom
and if you’ve enjoyed this video be sure to subscribe and leave your comments
down at the bottom you

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