The Peck Group, LC
  • Comprehensive Tax Law Representation Since 1995

    We handle every aspect of tax law: preparing tax returns, representing clients during audits, resolving IRS and state tax controversies, and creating tax planning strategies for the future.

  • Problems With The IRS Or State Tax

    Our attorneys are committed to providing efficient and effective tax solutions for individuals and businesses in Georgia and nationwide.

  • Planning For The Future

    Our lawyers help individuals and businesses with all aspects of estate and tax planning. We help our clients use proactive strategies to minimize tax implications in the future

  • Changing The Balance Of Power

    Does it feel like the government has all the power? Taxpayers have rights, too. We use our knowledge of tax law to shift the balance of power and ensure that your rights are protected.

  • Tax Solutions … And Peace Of Mind

Why you may want to reassess your paycheck withholding

Anytime you start a new job, you submit a W-4 form to your employer. This form details the number of allowances you elect, which in turn impacts how much money is taken out of each paycheck to go towards your income taxes. As we discussed in a previous post, if you claim more allowances, you’ll receive more money each pay day—but you could end up with a high tax bill on Tax Day. If you claim fewer allowances, your paycheck will be a bit smaller—but you’ll be more likely to get a refund on Tax Day.

For many of us, the number of allowances we claim has remained constant for many years. We may not give it much thought. However, the Tax Cuts and Jobs Act (TCJA)—which was passed at the end of 2017—has changed the tax landscape dramatically. This law could affect many aspects of your tax situation, including:

  • Your tax rate and bracket
  • The standard deduction as well as certain other deductions
  • Your personal exemptions
  • The child tax credit
  • Tax credits for dependents who aren’t children

In light of these significant tax changes, the IRS is encouraging all taxpayers to verify that the amount of withholding they have claimed is the most beneficial for their current tax situation. Taxpayers can use the online withholding calculator tool to see how the TCJA has impacted their tax situation—and whether changing their withholding may be advantageous. Taxpayers who opt to change the amount withheld from their paychecks can submit a new W-4 form to their employer.

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The Peck Group, LC
5855 Sandy Springs Circle N.E., Suite 190
Atlanta, GA 30328

Phone: 770-884-6914
Fax: 770-933-2369
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