Tax Day 2024 and How to Get an Extension from the IRS
Tax Day is on Monday, Apr 15, 2024. Not ready to file? Submit an electronic request to the IRS for an extension ASAP!
AZ has a flat state income tax rate of 2.5%. This means no matter your income bracket, all AZ residents have to pay 2.5% of their paycheck to the state. The employee can adjust how much state tax they want to withhold from their paycheck using Form A-4, which can range from 0.5% up to 3.5%. This could be useful if you want to pay less taxes part of the year, and pay more taxes another part of the year. By the end of the year however, you’ll want to have paid at least 2.5%, else you’ll end up owing taxes when it’s time to file taxes. If you paid more than 2.5%, you’ll receive a refund.
If the employee fails to provide Form A-4, the employer will withhold Arizona income tax at the default rate of 2.0%, until the employee provides the employer with an updated Form A-4.
The Arizona salary paycheck calculator will calculate the amount of income tax per paycheck. Change the State elected percentage rate dropdown to match your form selection.
For salaried employees, the number of payrolls in a year is used to determine the gross paycheck amount.
For example, let’s look at a salaried employee who is paid $52,000 per year:
FICA (Federal Insurance Contributions Act) includes 2 taxes: Social Security and Medicare. Both Social Security and Medicare taxes are deducted from each paycheck to fund these important government programs.
In addition to withholding federal and state taxes, part of your gross income might also have to contribute to deductions. These are known as “pre-tax deductions” and include contributions to retirement accounts and some health care costs. For example, when you look at your paycheck you might see an amount deducted for your company’s health insurance plan and for your 401k plan. Pre-tax deductions result in lower take-home, but also means less of your income is subject to tax. Some deductions are “post-tax”, like Roth 401(k), and are deducted after being taxed.
In our calculators, you can add deductions under “Benefits and Deductions” and select if it’s a fixed amount, a percentage of the gross-pay, or a percentage of the net pay. For hourly calculators, you can also select a fixed amount per hour. For pre-tax deductions, check the Exempt checkboxes, meaning the deduction will be taxed.
In 2020, the IRS updated the Federal W4 form that eliminated withholding allowances. The redesigned Form W4 makes it easier for your withholding to match your tax liability. Here’s how to answer the new questions:
If your W4 on file is in the old format (2019 or older), toggle "Use new Form W-4" to change the questions back to the previous form. Employees are currently not required to update it. However if you do need to update it for any reason, you must now use the new Form W-4.
Tax Day is on Monday, Apr 15, 2024. Not ready to file? Submit an electronic request to the IRS for an extension ASAP!
IRS has updated tax brackets for 2024. See how this affects your first paycheck this year!
Check out the updated 2024 Federal benefit limits for 401(k), HSA, and simple IRA, and more. Stay informed and plan your finances with confidence!