Business Owners

[Zysoclaplem]

My boss is contracted by a corporation. He pays me from what they pay him. He charges a certain amount, pays me a part of it, and keeps the rest.
Whenever I receive a check, I receive a form that shows my pay, tax deductions, SS, medicare, and finally how much I actually make.
I have caught him charging me too much in Federal Withholding before. Or adding on taxes I am not supposed to pay. I would like to go back and check just how much I am actually supposed to be paying. I am under the impression that I am being charged too much on paper in federal withholding, and the extra is paying for his new living room set. I may be 100% wrong, but I would still like to be able to check how much I should be paying in Fed. Withholding, SS, and Medicare.

A while back he said there is a form he downloads and uses that gives him the info. It has a series of tables and he finds the correct numbers and so forth.

Anyone know where I can find this form?

 

[Whoozyerdaddy]

Keep your paystubs. If they add up to what is on your W2 then he's straight. (No pun intended)

It almost sounds like you could argue to be a 1099 employee. Maybe you should suggest that to him. Plus, you get much better tax bennies.

 

[Zysoclaplem]

Well if he is indeed screwing me, I would like to confront him about it now. I found a tax withholding form that shows all the info I need for 2008 and I cannot get the numbers to fit to get the amount I am paying.

 

[Zysoclaplem]

bump for morning crowd

 

[texascrazy88s]

i hear lawsuit.

 

[EagleKeeper]

The Federal & State tax withheld is based on a formula or tax tables tied to your withholdings level indicated on the W4
SS and Medicare are a fixed percentage of income

The Federal and States will balance out anyhow come tax time - as long as the W2 matches the paystub.

If you use tax S/W, you are asked to enter the SS & Medicare amounts. If there is a difference inthe amounts based on income entered vs amount paid, you will be alerted.

The form should be available from the IRS and the state department of revenue.

Due to Texas being listed in your profile, the state does not come into play for you.

 

[Jeraden]

SS and Medicare are straight percentages, so that should be an easy calculation for you.
Fed does vary and gets all complicated.
However, even if he's withholding more than you think he should, you'll get it back when you file your taxes. Its not like its going in his personal bank account. If it is, he's going to end up in jail when the IRS discovers he's withholding more than he's actually sending to them.

 

[UNCjigga]

Do you remember filling out a W4 when you started working--do you know how many exemptions you are claiming? It may do you well to file an updated W4 with your boss. You can get a handy W4 withholding calculator here.

I got nailed on my taxes for '07 because I neglected to update my W4 (I claimed too many exemptions).

 

[Zysoclaplem]

I found the percentages for medicare and ss and they are alright.
I just want to be able to check what the right taxes are.

 

[alkemyst]

Originally posted by: Zysoclaplem
I found the percentages for medicare and ss and they are alright.
I just want to be able to check what the right taxes are.

You are being paranoid...it's pretty hard to figure it out on a week by week basis. If your employer was going to fraud you, the last thing they'd try to use is SS/Medicare/FED...these are audited by those that can send them to a nice jail cell pretty quickly.

 

[JS80]

Originally posted by: UNCjigga
Do you remember filling out a W4 when you started working--do you know how many exemptions you are claiming? It may do you well to file an updated W4 with your boss. You can get a handy W4 withholding calculator here.

I got nailed on my taxes for '07 because I neglected to update my W4 (I claimed too many exemptions).

Better calculator. Fill in your wage and allowance info and see if it's similar to your net pay.

 

[Zysoclaplem]

I confronted him about it. I won't go into much detail but they were indeed wrong, and not accidentally.

 

[Ns1]

Originally posted by: Zysoclaplem
I confronted him about it. I won't go into much detail but they were indeed wrong, and not accidentally.

I hope he knows the penalties for skimming taxes is fucking huge.

 

[Orsorum]

Originally posted by: Zysoclaplem
I confronted him about it. I won't go into much detail but they were indeed wrong, and not accidentally.

Please elaborate.

 

[CPA]

Originally posted by: Orsorum

Originally posted by: Zysoclaplem
I confronted him about it. I won't go into much detail but they were indeed wrong, and not accidentally.

Please elaborate.

Boss is withholding more in Fed payroll taxes than he is reporting on his 941. Boss pockets the difference. Boss will get hammered eventually when the submitted W2s don't match the 940 and 941.

 

[Orsorum]

Originally posted by: CPA

Originally posted by: Orsorum

Originally posted by: Zysoclaplem
I confronted him about it. I won't go into much detail but they were indeed wrong, and not accidentally.

Please elaborate.

Boss is withholding more in Fed payroll taxes than he is reporting on his 941. Boss pockets the difference. Boss will get hammered eventually when the submitted W2s don't match the 940 and 941.

Thanks, Keith. I'm out sick today and am a little slow on the uptake.

Zyso, are you going to continue working for this yahoo? Skimming payroll taxes is serious business and does not bode well for his overall business ethics.