The Tax Cuts and Jobs Act changed the way tax is calculated.
The IRS encourages everyone to perform a “paycheck checkup” to see if you have the right amount of tax withheld for your personal situation.
For employees, withholding is the amount of federal income tax withheld from your paycheck. The amount of income tax your employer withholds from your regular pay depends on two things:
- The amount you earn.
- The information you give your employer on Form W–4.
For help with your withholding, you may use the Tax Withholding Estimator. You can use the Tax Withholding Estimator to estimate your 2020 income tax. The Tax Withholding Estimator compares that estimate to your current tax withholding and can help you decide if you need to change your withholding with your employer.
More details about the Tax Withholding Estimator and the new 2020 withholding tables can be found on the Frequently Asked Question pages: