According to several online calculators, it looks like my tax withholding will be a larger percentage of my income if I’m paid semi-monthly as opposed to monthly. Why is this? I’m expecting to get most of my withheld tax back, so I don’t want to give the gov’t an interest-free loan if I don’t have to.
It shouldn’t if you have correctly entered the gross salary figure.
For instance, a $4000 per month salary equates to a semi-monthly of $2000.
If you enter the wrong numbers, you’ll get the wrong answer.
GIGO, in other words.
It shouldn’t if you have correctly entered the gross salary figure.
For instance, a $4000 per month salary equates to a semi-monthly of $2000.
If you enter the wrong numbers, you’ll get the wrong answer.
GIGO, in other words.
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Also, remember that every 2 weeks is not semi-monthly. Every 2 weeks, with the same income per pay period, is more for the year and therefore perhaps more tax per pay period.
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