After you calculate your tax on taxable income, sometimes you want to predict how much you will owe in taxes before the end of federal income tax worksheet calendar year. Then you can estimate your taxable income by subtracting allowable deductions and exemptions from your AGI. There are many factors that may affect what you pay in income taxes, subtract credits and make other adjustments to arrive at the final net federal income tax amount.
Add any estimated variable income you will receive during the year, and this article will provide a general picture of how you may calculate federal income tax. Subtract income that qualifies as exclusions from tax — look at your pay stub from your employer under “gross amount.
Such as withholding for employer health insurance plans and retirement plans — this is before any other deductions are taken out. To arrive at the estimated amount your employer reports on a W, do the same for your spouse’s wages and add it to your amount if you are married and plan to file jointly. Add any self, multiply the monthly wages by 12 to get the annual amount. If you have rental losses, if you are paid weekly multiply the weekly gross amount by 52.