Using a pay stub, one will be able to get information such as income which is required when filing taxes regardless of whether it is monthly income or bi-weekly income. One of the ways to file taxes is online which makes it convenient. In some instances, one may not be able to file taxes online but one can be able to mail one’s tax returns to the relevant people. One must indicate deductions when one is filing taxes and one can find this information from a pay stub. The deductions that one is supposed to indicate can be found when one looks at the abbreviations on a pay stub. Federal income tax, medicare taxes, state income tax, local taxes, and social security taxes are some of the deductions that one can find in a pay stub.
One can make an estimate of the annual tax payment after looking through the deductions. By multiplying all the deductions by twelve, one can find out what is the annual tax payment from monthly income. A person who is paid bi-weekly can know the annual tax payment when they multiply their total deductions by …Continue Reading