Have you heard? The IRS has issued an updated Form W-4 and revised the online withholding calculator for the new tax law. You may want to share the details with your employees to review this new calculator to be sure their withholding is still correct.
The new tables include the new laws, such as trade-offs between lower rates and the loss of some deductions and tax breaks. For some employees this could result in substantially too little Federal being withheld for 2018.
Those who should definitely use the new calculator or at least re-estimate their 2018 taxes are two-income families; individuals who hold more than one job; those with children, especially if they claim the child tax credit; those who have always itemized; high income taxpayers and those with complex tax returns.
Go to www.irs.gov to download the new 2018 W-4 and get the details for the online calculator. Or use this link to go directly to the W-4 Form for 2018.