Do I need to file taxes if I lost my job in February?

Thanks for explaining! Do you know how long after being let go a company usually takes to send that W-2? Also, what if I don't end up getting another job this year - do I still file just for those few weeks of work?

Your former employer is required to provide your W-2 by January 31, 2026 for the 2025 tax year. They won't send it right after you leave - they'll send it in January next year along with everyone else's. If those few weeks of work end up being your only income for 2025, you'd still need to file if the amount exceeds the filing threshold. But if your total income for the year falls below the threshold and you don't have any special situations that require filing, you might not need to. That said, if you had any federal taxes withheld from those paychecks, you should file to get that money refunded to you.

Does it actually understand complicated tax situations? Like I had unemployment benefits last year after losing my job and wasn't sure how those got taxed.

I'm kinda skeptical about AI tax tools. How does it compare to like TurboTax or going to an actual tax person? Can it really give accurate advice about something as specific as being laid off early in the year?

It absolutely handles complicated situations! The tool is specifically designed to understand nuances like unemployment benefits, which are taxable income that should be reported on your tax return. It will explain how they impact your overall tax situation. When comparing to other options, I found it more helpful than general tax software for my specific questions. While TurboTax walks you through filing, taxr.ai helped me understand my particular situation before I even started the filing process. It's not a replacement for a tax professional in extremely complex cases, but for specific questions like "do I need to file after being laid off early in the year," it gives clear, accurate guidance based on your actual circumstances.

Wait, how does this actually work? The IRS phone system is notoriously impossible to get through. Are they somehow jumping the queue or something?

This sounds like BS honestly. Nobody can magically get through the IRS phone system. I spent literally 6 hours on hold last year and still got disconnected. How could some random service possibly fix that? Seems like a scam to me.

It uses a combination of technology and timing to navigate the IRS phone system more efficiently than a person could manually. They've basically created an automated system that monitors the IRS phone lines and connects you when there's an opening - it's not "jumping the queue" but rather optimizing when to call and how to navigate the system. I was definitely skeptical too, but it's not magic - just smart technology. I wasted hours trying to get through on my own with no success. With Claimyr, I got connected in about 15 minutes. The reason it works is because their system can persistently try multiple approaches simultaneously, something an individual caller simply can't do manually. It was absolutely worth it for me to finally talk to a real IRS agent and get my questions answered.

Thanks for bringing this up! They did give me a small severance package (about $3,200). I hadn't even thought about how that would be taxed. I haven't applied for unemployment yet, but I probably will soon. Do they automatically withhold taxes from unemployment or do I need to request that?

Yes, your severance package will be included on your W-2 along with your regular wages. The company will typically withhold taxes from it just like they do from regular paychecks. For unemployment benefits, they don't automatically withhold taxes in most states unless you specifically request it. You can fill out a form (usually Form W-4V) to request voluntary withholding of 10% for federal taxes. If you don't have taxes withheld from unemployment, you might need to make quarterly estimated tax payments to avoid a penalty when filing next year, or you could end up with a larger tax bill than expected. Many people are surprised by this come tax time, so it's good you're thinking about it now!

You're right, there are income thresholds. For 2025, a single person under 65 needs to file if they earn $13,850 or more. But you were smart to file anyway - if you had any taxes withheld from your paychecks, filing is the only way to get that money back!