UpDate - Vol. 11, No. 20, Page 8
February 20, 1992
Federal withholding changes expected in March paychecks

     An adjustment to the Federal withholding tables to eliminate
excess withholding of income tax has been made by order of the
President of the United States, effective for all pays after Feb.
29. The effect on the amount of federal income tax that is withheld
per pay is as follows:

Biweekly payroll

Single status
     If your total amount subject to federal withholding for one
pay is $1,825 or less, you will have $6.60 less per pay withheld,
or a total of $145.20 less for the year.
     If your total amount subject to federal withholding for one
pay is greater than $1,825, there will be no change in the amount
withheld.

Married status
     If your total amount subject to federal withholding for one
pay is $3,027 or less, you will have $13.35 less per pay withheld,
or a total of $293.70 less for the year.
     If your total amount subject to federal withholding for one
pay is greater than $3,027, there will be no change in the amount
withheld.

Semimonthly payroll

Single status
     If your total amount subject to federal withholding for one
pay is $1,977 or less, you will have $7.19 less per pay withheld,
or a total of $143.80 less for the year.
     If your total amount subject to federal withholding is greater
than $1,977, there will be no change in the amount withheld.

Married status
     If your total amount subject to federal withholding for one
pay is $3,279 or less, you will have $14.37 less per pay withheld,
or a total of $287.40 less for the year.
     If your total amount subject to federal withholding is greater
than $3,279, there will be no change in the amount withheld.

     The withholding allowance per exemption claimed has not
changed from the current annual $2,300 per exemption.
     If you determine that the above change will underwithhold your
federal income tax for 1992, you may increase your withholding by
filling out a new W-4 form to decrease the number of exemptions you
are claiming. If you already claim zero deductions, you can request
to have additional taxes withheld by filling out a form for that
purpose.
     Both forms are available in departmental administrative
offices and should be submitted to the University payroll office.
For questions, call the Payroll Office at 831-2177.