Brother Adam Posted February 1, 2006 Posted February 1, 2006 What's the difference between a 1040 and a 1040A? Should Social Security be more than 20% of your wage when you make less than the poverty line? Is there a way to get a refund if you have an employer that may have taken too much?
philothea Posted February 1, 2006 Posted February 1, 2006 [variously edited as I imagine I remember more] Ummmm. Totally speaking from memory. 1040 is for people who have itemized deductions or are self-employed, or have capital gains. 1040A is simpler... um, itemized deductions only? 1040EZ is simpler yet (try this one if you can). You will get a refund if your employer withheld too much. That's extremely common. Personally, I try to avoid taxes by earning no money, but it's difficult.
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='philothea' date='Jan 31 2006, 07:35 PM']Ummmm. Totally speaking from memory. 1040 is for people who have itemized deductions or are self-employed, or have capital gains. 1040A is simpler... um, itemized deductions but not self employed, maybe? 1040EZ is simpler yet (try this one if you can). You will get a refund if your employer withheld too much. That's extremely common. Personally, I try to avoid taxes by earning no money, but it's difficult. [right][snapback]871470[/snapback][/right] [/quote] I have tuition expenses so I know I can't use the 1040EZ, plus I am married filing jointly. I know that we have a -0- tax liability since we made almost no money and have 18,000 in school expenses (10,000 credit + 4,000 standard deduction and we make less than 14,000)
Azriel Posted February 1, 2006 Posted February 1, 2006 [quote name='Brother Adam' date='Jan 31 2006, 06:37 PM']I have tuition expenses so I know I can't use the 1040EZ, plus I am married filing jointly. I know that we have a -0- tax liability since we made almost no money and have 18,000 in school expenses (10,000 credit + 4,000 standard deduction and we make less than 14,000) [right][snapback]871471[/snapback][/right] [/quote] I highly suggest visiting a site like www.taxact.com. Its way cheaper than going to have your taxes done, its like 9.95. It really helps you walk through filling out your form by asking questions.
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='Azriel' date='Jan 31 2006, 07:41 PM']I highly suggest visiting a site like www.taxact.com. Its way cheaper than going to have your taxes done, its like 9.95. It really helps you walk through filling out your form by asking questions. [right][snapback]871474[/snapback][/right] [/quote] Turbo-Tax just wanted 29.95 cause i have to fill out the tuition expense form and I'm a returning customer (so normally it is free from turbotaxfreedom.com). ugh.
philothea Posted February 1, 2006 Posted February 1, 2006 [quote name='Brother Adam' date='Jan 31 2006, 06:37 PM']I have tuition expenses so I know I can't use the 1040EZ, plus I am married filing jointly. I know that we have a -0- tax liability since we made almost no money and have 18,000 in school expenses (10,000 credit + 4,000 standard deduction and we make less than 14,000) [right][snapback]871471[/snapback][/right] [/quote] You will still pay social security tax. Anything over a few hundred ($400?) is subject to social security. Everything else should be refunded, though.
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='philothea' date='Jan 31 2006, 07:43 PM']You will still pay social security tax. Anything over a few hundred ($400?) is subject to social security. Everything else should be refunded, though. [right][snapback]871476[/snapback][/right] [/quote] I know we have to pay social security, but I still say over 20% of your gross income is a bit high for social security....how much they take out from week to week seems completely arbitrary. I won't tell ya' how much we did make, but say that you made 50,000 gross, would you expect to pay 10,000 in SS? That's about how much we've paid out in percentage.
Azriel Posted February 1, 2006 Posted February 1, 2006 [quote name='Brother Adam' date='Jan 31 2006, 06:43 PM']Turbo-Tax just wanted 29.95 cause i have to fill out the tuition expense form and I'm a returning customer (so normally it is free from turbotaxfreedom.com). ugh. [right][snapback]871475[/snapback][/right] [/quote] That stinks. I just did mine with tax act and I itemize, and have the deduction for the kiddo, and taxact only charged me 9.95.
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='Tindomiel' date='Jan 31 2006, 07:48 PM']20% [i]Is [/i]ridiculous. [right][snapback]871483[/snapback][/right] [/quote] It doesn't make sense that there isn't a certian liability for SS tax. So in reality, if my employer decided to send 75% of my check to SS, there is absolutely nothing I can do about it, to get it back.
philothea Posted February 1, 2006 Posted February 1, 2006 [quote name='Brother Adam' date='Jan 31 2006, 06:52 PM']It doesn't make sense that there isn't a certian liability for SS tax. So in reality, if my employer decided to send 75% of my check to SS, there is absolutely nothing I can do about it, to get it back. [right][snapback]871490[/snapback][/right] [/quote] Gosh, it's been so long since I had a real job I hardly remember... isn't there a form you fill out, saying how many dependents you have, and (as a result) how much you want withheld? They're withholding for income tax, mostly, of course.
jezic Posted February 1, 2006 Posted February 1, 2006 um ss is only supposed to be 6.5%. If it is more than that something is up. It might be federal income tax. For some people those two codes can look very similar depending on the bookeeping.
homeschoolmom Posted February 1, 2006 Posted February 1, 2006 I'm hoping our taxes get done in a timely fashion this year. The last two years, we've filed an extention (even though we were getting a refund) because we were just too busy to get it done. And even then, we had to drive up to the post office to get it in by midnight on the deadline. But this year, HSDad's unemployed... so, I'm hoping he has a few free hours to kill...
shortnun Posted February 1, 2006 Posted February 1, 2006 [quote name='Tindomiel' date='Jan 31 2006, 07:48 PM']20% [i]Is [/i]ridiculous. [right][snapback]871483[/snapback][/right] [/quote] And we'll be lucky if we ever see a dime of that Social Security...... But on the bright side of life, I got a thinger from my school saying I am in school and they'll deduct a $1000 off of my income. That means I'll barely register making any money at all. (That's what happens when you nanny and get paid "off the record.") But now I need to go make a note on my calendar so I actually remember to file........
OLAM Dad Posted February 1, 2006 Posted February 1, 2006 (edited) Social Security is 6.2% of your income until your reach $90,000 income for the year, then it stops. Medicare is 1.45% with no income cap. Unless you're self employed you should not be paying more than 7.65% max for Social Security and Medicare combined. If you paid more it is up to you to claim the refund. There is a spot on the 1040 for this. Edited February 1, 2006 by OLAM Dad
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='OLAM Dad' date='Feb 1 2006, 09:36 AM']Social Security is 6.2% of your income until your reach $90,000 income for the year, then it stops. Medicare is 1.45% with no income cap. Unless you're self employed you should not be paying more than 7.65% max for Social Security and Medicare combined. If you paid more it is up to you to claim the refund. There is a spot on the 1040 for this. [right][snapback]871959[/snapback][/right] [/quote] I'll have to look for it. We paid way too much in SS if it isn't suppose to be more than 7.65%. I just figured there was nothing you could do about it.
OLAM Dad Posted February 1, 2006 Posted February 1, 2006 [quote name='Brother Adam' date='Feb 1 2006, 11:46 AM']I'll have to look for it. [right][snapback]872075[/snapback][/right] [/quote] If you promise to only receive Communion on the tongue I'll tell you where it is. :
Brother Adam Posted February 1, 2006 Author Posted February 1, 2006 [quote name='OLAM Dad' date='Feb 1 2006, 01:54 PM']If you promise to only receive Communion on the tongue I'll tell you where it is. : [right][snapback]872157[/snapback][/right] [/quote]
OLAM Dad Posted February 1, 2006 Posted February 1, 2006 Just joking. It's on line 67 of Form 1040. Your case is different from what I've experienced in the past. It looks like you have to take your issue up with your employer. Here is what the instructions say. [quote]Line 67 Excess Social Security and Tier 1 RRTA Tax Withheld If you, or your spouse if filing a joint return, had more than one employer for 2005 and total wages of more than $90,000, too much social security or tier 1 railroad retirement (RRTA) tax may have been withheld. You can take a credit on this line for the amount withheld in excess of $5,580. But if any one employer withheld more than $5,580, you cannot claim the excess on your return. The employer should adjust the tax for you. If the employer does not adjust the overcollection, you can file a claim for refund using Form 843. [/quote] I am certain that you should only have to pay 7.65% for both FICA (Social Security) and Medicare, combined. Good Luck!
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