I would be delirious to get guesses on the headline question, that would help us immensely.
However, in case anyone wants the component info:
Married filing jointly
Wife had 1099 jobs and W2 jobs,
She had 3k withheld from W2 jobs
Husband is retired, gets SS income
Her total gross income: 35,611.55 this quarter
18,374.22 <-taxable 1099 (1099 gross \* 0.9235)
2,811.26 <-SE tax (taxable 1099 \* 0.153)
1,405.63 <-50% of se tax is deductible
34,205.92 <--Trial AGI (gross income 35611.55 minus deductible 1405.63)
1,200.00 <--Subsidized Kaiser premiums (8 months \* 150)
33,005.92 <--Her AGI (trial AGI minus Kaiser)
HIS social security stuff
32,000.00 <--Threshhold above which ssa is taxable
37,145.92 <--GUESSING what combined income will be (her agi + taxable ssa)
5,145.92 <--Excess over the threshhold
2,572.96 <--Half of excess because irs taxes the excess progressively, so cut excess in half
2,572.96 <--Lesser of (guess what % of ssa will be taxable) versus half of excess
35,578.88 <--Total Gross Taxable Income (wife agi + lesser or excess)
7,500.00 <--30,000 standard deduction div by 4
28,078.88 <--Couples' total gross taxable minus quarterly deduction
2,385.00 first $23,850 of income is taxed at 10% of 23,850
3,083.27 between $23,851 and $96,900 taxed at 12%
5,468.27 QUARTERLY TAX LIABILITY FOR MARRIED FILING JOINTLY?
Please guess: QUARTERLY, wife grosses 35k, husband's SSA is 6k. $5,400 quarterly fed tax debt sounds awfully low, have I made a horrible mistake?
byu/Large_Ad5536 intax
Posted by Large_Ad5536
3 Comments
Try plugging everything you know into this tool. There’s a deadline in 5 days for passthrough businesses, and there are a lot of details here for a guess.
https://apps.irs.gov/app/tax-withholding-estimator/results/
My wife and I’s income is about the same as yours and we’re gonna land at about 15-17K of total federal liability (I just did the math on mine) so I’m guessing you’re ok. We do only have W-2’s and no 1099’s so yours would be slightly higher due to the SE tax.
One thing to consider: your wife’s gross income may not all be taxable, if she has 401-K contributions, health care premiums, or a health savings account through her work, these items are going to be decided off before she even gets her W-2 as if she never made the money that was taken out of her paycheck for those things so essentially an additional deduction besides the standard deduction.
Wife’s wages: 140K.
Taxable social security: $20,400. (From an online calculator).
Total AGi: $160K.
Standard deduction: 30K.
Taxable income: 130K
Federal tax: $18,427
SE tax: $11,244 ($18,374 X 4 x .153)
Half of SE tax: $5,622
Tax benefit of SE tax deduction: $5,622 x .22 (22 percent is your highest marginal tax rate) = $1,236
Total tax: $18,427 plus $11,244 minus $1,236 = $28,435.
So unless there’s deductions I’m missing, yes you’re too low should be about 7K per quarter. Sorry about that.
Also; I’ve done your return for you. That’ll be $700 please. PM me to discuss payment.