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Another option if you're concerned - just call H&R Block's customer service number directly from their main website (the hrblock.com one) and ask them to verify if gethrblock.com is legitimate. That's what I did when I was in the same situation last year. They confirmed it's their official download portal for retail software purchases.
Do you happen to have that number handy? I'm having the same issue but with TaxCut software (which I think is also H&R Block?).
I don't have the exact number saved, but you can find it at the bottom of hrblock.com under "Contact Us" or "Support." Yes, TaxCut was H&R Block's older product name - they rebranded it to H&R Block software several years ago. So if you have TaxCut, that's definitely an older version of their software. You might want to check if it's still supported for this tax year. They typically only support the current and previous year's versions, so depending on how old your TaxCut software is, you might need to upgrade.
I download H&R Block every year and yes gethrblock is legit. They use different websites for different things. Kind of confusing but totally safe.
I'm having the same issue, but mine is from Target and the site looks a bit different than what was described. Does H&R Block use multiple download sites or should they all look the same?
You guys are forgetting that there's more than just federal income tax. When you factor in: - Social Security (6.2%) - Medicare (1.45%) - State income tax (varies but 3-9% for most states) - Property tax (directly or through rent) - Sales tax (varies by state/city 5-10%) - Gas taxes - Various fees and licenses The true tax burden is WAY higher than just your federal income tax rate. I calculated mine all-in at around 31% last year making about $115k in California.
You've got a good point about the total tax picture. I included sales tax in my second calculation which pushed it up to 12.54%, and I'm lucky to live in a state with relatively low income tax. California definitely hits harder with the state income tax. Do you feel like you get good value from the services your taxes provide there? I sometimes wonder if I'd be willing to pay more if I saw better infrastructure and public services where I live.
Regarding California value - it's honestly mixed. Some things are amazing like certain parks and public universities, but other infrastructure is crumbling. I think the issue isn't necessarily tax rates but efficiency of spending. Comparing to friends in Europe, they pay higher rates but seem to get more consistent services across the board. Here it feels like a patchwork where some things are world-class and others are embarrassingly bad. It's frustrating paying substantial taxes and still having to drive around potholes that have been there for years.
Has anyone actually looked at historical tax rates in the US? In the 1950s-1970s the top marginal tax rate was 70-90%! Not saying we should go back to that, but it's interesting to see how much things have changed. Today's rates are actually quite low by historical standards.
This is a bit misleading though. Very few people actually paid those high rates back then because there were way more loopholes and deductions. The effective tax rates weren't that different from today for most income levels. The tax code has been simplified in some ways, but the actual amount collected hasn't changed as drastically as just looking at the top rates would suggest.
When this happened to me at State University, I asked them to show me exactly how they calculated what I owed. Turns out they were trying to collect for an extra 3 months before I became benefits-eligible! Check their math carefully - don't just accept whatever number they give you. Also, they should give you a detailed breakdown showing the exact pay periods affected, the amounts that should have been withheld, and how they're going to collect it. If they don't provide this automatically, request it in writing.
Thanks for the tip! I'll definitely ask for a detailed breakdown. Did you have to pay interest on top of the missing FICA taxes?
No, I didn't have to pay any interest. Since it was their error, they only collected the actual missing FICA amounts. They initially tried to include interest in their calculation, but I pushed back and pointed out that their own policy stated that administrative errors shouldn't result in additional costs to employees. I'd recommend checking your university's HR policies on payroll errors. Most have some language about how corrections should be handled, and this might give you some leverage if they try to charge interest or penalties.
Just a heads up - make sure you're saving extra money from each paycheck for the rest of the year! When this happened to me, the sudden drop in take-home pay (both from the new correct withholding AND the back payments) really messed up my budget. I wasn't prepared for my paycheck to be almost 12% smaller.
Good point. When my company had a similar FICA withholding error, I adjusted my W-4 to reduce other withholding temporarily while I was paying back the FICA. You can increase your allowances slightly to offset some of the pain if needed.
One thing nobody has mentioned yet - when you file as independent (not being claimed as a dependent), make sure you check if you qualify for the Recovery Rebate Credit for 2022 if you didn't receive the full amount of the third Economic Impact Payment in 2021. Since you were claimed as a dependent before, you might not have received it, but could claim it on your 2022 return if you're filing independently.
Whoa, I had no idea about the Recovery Rebate Credit! I definitely didn't get any stimulus money before because my parents claimed me. How do I check if I qualify for this? Would it be a significant amount?
You should qualify if you didn't receive the third stimulus payment (which was $1,400) and you're now filing as independent. Most tax software will ask you questions about this specifically - something like "Did you receive the third Economic Impact Payment in 2021?" It's definitely significant - it would be up to $1,400 added to your refund! Your tax software should help calculate this, but make sure you answer the questions about Economic Impact Payments carefully. If your parents received the payment for you as their dependent in 2021, you wouldn't qualify, but if no one received a payment for you, you likely will.
I see a lot of people mentioning the "check the box" part, but one thing that tripped me up my first time filing independently was that I got confused between "filing status" and "dependency status." They're not the same! Filing status is about whether you're filing as Single, Head of Household, Married Filing Jointly, etc. The dependency question is separate from this. You'll likely file as "Single" for your filing status, and then separately indicate that no one can claim you as a dependent.
This is such an important distinction! I messed this up my first time filing too. I thought by selecting "Single" as my filing status, I was automatically indicating that I was claiming myself. But they're totally different questions on the tax forms.
Andre Laurent
To actually answer your original question about TurboTax - I've used it for the past 5 years and it's fine. Not amazing, not terrible. Here's my honest take: PROS: - Really easy interface - Imports W-2s automatically if your employer supports it - Good at finding common deductions - You can pay the fee out of your refund CONS: - They constantly try to upsell you - Basic version is limited, you'll probably need Deluxe ($60ish plus state) - Customer service can be slow during peak season - The "audit defense" they sell is overpriced for most people If you're comfortable with slightly less hand-holding, check out FreeTaxUSA. I switched this year and saved about $70 for basically the same result.
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StarStrider
ā¢Thanks for the breakdown! That's really helpful. Did you find it easy to switch to FreeTaxUSA after using TurboTax for years? Was there a learning curve?
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Andre Laurent
ā¢There was a small learning curve switching to FreeTaxUSA, but nothing major. The interface isn't quite as polished as TurboTax, but all the same information is there. The biggest difference is that FreeTaxUSA doesn't push upgrades constantly, which was refreshing. One helpful thing is that FreeTaxUSA lets you import your previous year's return from TurboTax, so I didn't have to re-enter all my personal info. The actual filing process took maybe 15 minutes longer than TurboTax, but saving $70 was totally worth it to me.
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Emily Jackson
Just FYI - if your income is under $73k, you can use the IRS Free File program to access TurboTax and other tax software completely free. Don't go directly to TurboTax.com - instead go through the IRS website (https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free). The software companies hide these free versions on their own sites.
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Liam Mendez
ā¢This!! I accidentally paid $120 for TurboTax last year when I could've gotten it free. They're super sneaky about it. Always go through the IRS Free File page.
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