Is your W-4 and NC-4 with your employer still "good" ?

Dear and clients and friends,

For most, tax season for 2025 is behind us. Many were affected positively by various new rules. For example (not all-inclusive):

• some clients itemized deductions again on Schedule A, after not having done so since 2018. This was primarily due to the removal of the $10,000 state tax max

• some clients took advantage of tax-free overtime pay

• some clients took advantage of tax-free tips

• some clients took advantage of an up to $6,000 per person senior deduction

As a result, taxpayers have ended up with larger refunds. Although it was a nice surprise, it really isn't best to overpay the government throughout the year and get back the excess at tax time. Ideally, you should reduce your tax withholdings taken out of your paycheck and get as close to "break-even" at tax time as possible.

Nailing down the proper job withholding can be tricky, especially for married couples that both work. Further complicating matters are some additional 2026 law changes planned for and possible more coming.

Need help with having your job W-4 and NC-4 form adjusted? Let me know and we can plan a project for it.

Of course, 2026 tax projections for anyone may be beneficial, I will reach out in mid June about that.