Form 1099-G—Certain Government Payments. Use your Form 1099-G to file your federal income tax return in the tax season. 1099-G reports the government payments made to individuals. Although the use of Form 1099-G isn’t very common, considering the millions of Americans who applied to receive unemployment compensation, is going to be the year where it’s … Read more
Traditional and Roth IRAs or 401(k) retirement plans are available to almost all Americans. Traditional vs. Roth IRA or 401(k) is the first question that comes to mind about retirement and planning the future. Choosing one over another can be quite challenging though. As a general rule with all retirement plans, traditional IRA or 401(k) … Read more
Form WH 380 E—Certification of Health Care Provider for Employee’s Serious Health Condition under the FMLA is the form for employees to request leave from their employers for their own health conditions. If you’re a worker, you are going to file this FMLA form to request up to 12 weeks of leave under the FMLA. … Read more
Credit Monitoring Services is the best way to keep track of your credit score. Not only you get to see your credit score in real-time with a credit monitoring service but also get notified when you apply for a new credit account. This gets in the way of identity fraud and gives you enough time … Read more
IRS Form 7200—Advance Payment of Employer Credits Due to COVID-19 is to request an advance payment of tax credits for qualified family leave wages, sick pay, and employee retention credit. File Form 7200 to request advance payment for the above that you will claim in the following IRS tax forms. For Puerto Rico, file Form … Read more
Social Security tax is part of the Federal Insurance Contributions Act (FICA) tax. It’s collected by employers when processing payroll. The tax rate is fixed at 6.2% for both employees and employers. Calculating the Social Security tax is simple. It’s basically 6.2% of the employee’s income. The employer is responsible for matching the Social Security … Read more
401(k) contribution limits are adjusted and updated by the Internal Revenue Service every year. The agency sets a limit on 2021 401(k) contributions to prevent highly compensated employees from benefitting more than an average compensated worker. The base contribution limit applies to the employee contributions. If you’re working for an employer where the employer matches … Read more
IRS Free File allows taxpayers to submit their tax returns electronically through an approved e-file provider. Those who want to file taxes electronically but don’t want to pay have the option to free file. For the taxes you’re going to file in , the IRS has ten different e-file providers. Each of these e-file providers … Read more
How to Use the 1040EZ Form Using the 1040EZ Form on your tax return can be confusing, especially if you have multiple incomes. There are many factors to consider, such as your income, whether you are self-employed, and if you are eligible to claim a specific credit or deduction. Earned Income and Making Work Pay … Read more
Why are taxes withheld from paycheck? The income taxes and other taxes are withheld from employee’s paychecks by employers when processing payroll. This is how employees pay their taxes in general. As far as the income taxes go, this is definitely the best way to pay these taxes as you will pay gradually rather than … Read more