It’s up to you to negotiate this with your employer. If you’re a Massachusetts resident, but you work for a company in another state that doesn’t do business in Massachusetts or have a Massachusetts office, your employer may or may not withhold Massachusetts income tax payments from your paychecks. To report your Massachusetts income (and to be eligible for a refund from the Massachusetts Department of Revenue) you must file a non-resident income tax return in Massachusetts. If you earn money in Massachusetts, your employer will withhold state income taxes from your earnings, regardless of whether or not you are a Massachusetts resident. You can just give your employer your W-4 and leave it at that. But if your information is the same on both your M-4 and W-4, you don’t have to fill out the former. Like the W-4, the M-4 can be revised and filed again at any point during the year if your situation changes (for example, if you gain a dependent). As on the W-4, you can indicate on your M-4 that you’d like your employer to withhold an additional amount of money. The M-4 is like the W-4, but for Massachusetts state taxes. ![]() You can fill out Form M-4 and give it to your employer to indicate withholding exemptions. In Massachusetts, your employer will withhold money from your paychecks to put toward your state income taxes. The same is often true for the money you pay toward the premiums for employer-sponsored health, life and disability insurance. If you put money in a 401(k), a health savings account (HSA) or a flexible spending account (FSA), that money will be taken from your earnings before taxes are applied, lowering your taxable income and saving you money in the process. These revisions primarily affect those adjusting their withholdings or changing jobs. Instead, it features a five-step process that lets you enter personal information, claim dependents and indicate any additional income or jobs. The revised form no longer asks you to list total allowances. In recent years, the IRS has adjusted the guidelines surrounding the Form W-4. You should also fill one out anytime your filing status changes or you experience a big life change, like having a child. This is why you need to fill out a W-4 whenever you start a new job. Your employer then uses that information to calculate how much to withhold from your earnings every pay period. When you fill out a W-4 form, you indicate your marital status, state whether you’re exempt from income tax withholding and more. This is done by authorizing employers to withhold money from employees' paychecks to put toward income taxes. Income tax returns must be filed every spring, but income taxes are also paid all year round. Any earnings you make above $200,000 are subject to a 0.9% Medicare surtax, which is not matched by your employer. Your employer also matches that contribution. ![]() That’s the 6.2% for Social Security taxes and 1.45% for Medicare taxes that your employer withholds from every paycheck. One thing that doesn’t change, no matter where you live in the country, is FICA tax withholding. But it will also depend on your marital status, your pay frequency and any deductions from your earnings. The size of your paycheck will depend, of course, on your salary or wages.
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