I won't pretend I know what I am doing

L

lilbpaw

cause I don't and I am new to excel.
Mostly I know about doing simple codes, adding, subtracting, and such.

So this is probably out of my range but since I am learning I wanted to
investigate the possibility of it.

I made a form that will calculate your hours worked. you put time in,
lunch out, lunch in, time out and breaks if necessary.
I got it to calculate your hours and overtime. I can also now have it
calculate your "gross pay" before taxes if you put in your hourly
rate.

Now.. tell me how hard it is going to be to get it to calculate your
taxes? Is this an impossible feat or just out of my reach?

Lilbpaw
 
G

George Nicholson

Is this just for you, or for anyone to use?

If it is for more than yourself, you need to allow the user to input:
Marital status, # of Federal withholding allowances, PreTax deductions
(401k, Insurance, etc.), PayPeriod (weekly, bi-weekly, monthly, etc.)

All of those variables go into calculating TaxableIncome. *Then* you take
Taxable Income and calculate withholding based on the appropriate Tax
schedules which are available in downloadable IRS publications (www.IRS.gov
Search for either Publication 15 or 505). You will find there is a different
schedule/table for each PayPeriod and Marital Status combination.

And that is just Federal Income Tax withholding. I have 1) assumed this is
for a US resident and 2) ignored EarnedIncomeCredit issues. State
withholding (if any), Medicaid and Social Security are straightforward in
comparison (at least in my state).

Not impossible, by any means. I've done it (for my own use).

Can you calculate your withholding by hand? If so, you have a good shot at
being able to do this. If not, that is where I suggest you start. It will
give you a better idea of what is involved and whether you are up to
pursuing it.

If you go this route, plan ahead. Keep in mind that tax rates, the value of
allowances, etc. change at least once a year so you want to hard code as
little as possible into formulas.
 
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