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Does this sound right(Taxes)

Discussion in 'The Okie Corral' started by Knighj1, Mar 9, 2012.

  1. Knighj1

    Knighj1

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    My wife gets back 2400 roughly every year bc we set her on a higher tax bracket. I started my own thing last year and was 1099 employee and only made 12,000(a little under actually). I went to do our taxes we file jointly and it is saying we owe 630 federal and 300 state total of 930.

    Maybe Im not understanding this right, but if I would NOT have worked, we would have gotten back 2400(I plugged hers in and we had a refund, when I entered mine we owed). Since I made the above amount they are taking the 2400 + 930 additional. so for me to make 12000 they take 3330.

    I know taxes suck, but this seems high, she is a school teacher and we together only brought in under 55k roughly
     
  2. Swiper

    Swiper

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    Sounds about right to me. I got about $4,000 back on taxes last year, but this year only about $1,500. The difference is that my wife is doing substitute teaching now and brough home an additional $10,000 the household.
     

  3. Knighj1

    Knighj1

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    Actual numbers are 36,618.51(refund of 2400 alone) and 11,692(after plugging this in we owe) total of 48,310.51 of taxable income. 622 to federal and 341 to state= 963 total
     
    Last edited: Mar 9, 2012
  4. Knighj1

    Knighj1

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    I guess it is, I plugged it all in to tax act, just seems high to taxx 3300 on 11,692.
     
  5. Knighj1

    Knighj1

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    We need a dependent
     
  6. willie_pete

    willie_pete NRA Life Member

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    As a contract employee, you are also paying your SS and FICA taxes in that return.

    WP
     
  7. muscogee

    muscogee

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    If you're self employed you have to pay double Social Security. It used to be higher. A lot more people would be self employees instead of unemployed if it didn't cost so much.
     
  8. Zonny

    Zonny

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    You have to remember, you are
    making employee and employer contributions to your FICA and FUTA. Self employment taxes are crazy.


    Kathy on Outdoor Hub mobile.
     
    Last edited: Mar 9, 2012
  9. Knighj1

    Knighj1

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    Thanks guys, I did not make any quarterly payments. I'm not sure if this hurt me any or not. It has to be right, but just sounds high for what little bit I brought in. It is what it is
     
  10. Knighj1

    Knighj1

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    Have always loved this site. Friendly and helpful folks
     
  11. Cmacc

    Cmacc

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    You need to add your gross incomes and then your total taxes paid (withholding + what you owe). Then figure the % tax rate. You should not be higher than about 15% or so based on your combined income, married filing jointly.
     
  12. Cmacc

    Cmacc

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    Ahhh, yes, self employed you will owe more than the straight bracket. Still should be easy to check the figures.
     
  13. Knighj1

    Knighj1

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  14. Javelin

    Javelin Got Glock? Silver Member

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    This.

    It's like the government goes to extra lengths to penalize anyone that makes their own way.
     
  15. Adjuster

    Adjuster

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    Did you have any deductions for self employed. Home office, cell phone, automobile, internet, etc etc?


    /
     
  16. Cmacc

    Cmacc

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    ....charitable donations, mortgage interest deduction, college tuition tax credits, property taxes, capital losses, etc, etc, etc.
     
  17. Knighj1

    Knighj1

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    I have an office phone and internet and this will help a lot, but I also use it for home use and if i were to get audited I will have to show how much was used for business/personal and I'm not sure how hard that would be to do.
     
  18. Knighj1

    Knighj1

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    I have written everything off, except I have not put in my phone/internet for work b/c i use it for home and work. I also travel in my car, but not really sure how to write that off
     
  19. RDW

    RDW BTDT

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    Why do people let the Gov. keep their money all year? I just write a check at Tax TIME.
     
  20. muscogee

    muscogee

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    Probably not this year, but next year it might. You have to pay quarterly and pay as much as you did last year. Otherwise, there may be a penalty.