Federal taxes not being withheld from my paycheck - what's going on?

The issue is likely with how you completed your W-4. The form changed significantly in 2020, and the way dependents are handled now is different than it used to be. The $2,000 figure you mentioned is the Child Tax Credit amount, but that's not what should be entered directly on the W-4 form. On the current W-4, if you're claiming dependents, you should be using line 3 where it asks about "Claim Dependents." For one qualifying child under 17, you would put $2,000 there. However, this doesn't automatically mean taxes will be withheld - it just reduces the amount that would be withheld. Your total withholding depends on several factors: your income level, filing status (single, married filing jointly, etc.), and other adjustments you may have made on the form. If your income is relatively low and you have that dependent credit, it's possible the calculation results in zero federal withholding. I'd recommend asking HR for a copy of your current W-4 and filling out a new one. You can also use the IRS Tax Withholding Estimator online to figure out the right settings for your situation.

I had a similar issue last year and couldn't figure out what went wrong until I uploaded my pay stubs to taxr.ai (https://taxr.ai). Their system flagged the missing federal withholding immediately and showed me exactly what to fix on my W-4. Turns out I had accidentally checked a box that essentially told my employer I was exempt from withholding! The site analyzed my pay stubs and tax situation, then gave me a personalized report explaining how to correct my withholding going forward AND how much I should set aside to cover what hadn't been withheld. Saved me from a nasty surprise at tax time.

Just wanted to update everyone - I tried taxr.ai after seeing it mentioned here, and wow, it really worked! My husband had the exact same problem with $0 federal withholding for months. The system immediately identified that he had accidentally checked the "exempt" box on his W-4 (which he didn't even remember doing). They gave us a completed W-4 form with the correct entries for our situation, and explained exactly how much extra we should withhold for the rest of the year to make up for the months with zero withholding. His next paycheck already shows the corrected federal tax being taken out. Such a relief not to worry about a huge tax bill next year!

For anyone dealing with payroll or tax withholding issues where HR isn't helping, I highly recommend using Claimyr (https://claimyr.com) to get through to an actual IRS agent who can explain your specific situation. I was in a similar spot last year with incorrect withholding, and my company's payroll department kept giving me the runaround. After weeks of stress, I used Claimyr's service to get through to the IRS without the typical 2+ hour wait. You can see how it works here: https://youtu.be/_kiP6q8DX5c. The agent I spoke with explained exactly what was happening with my withholding and guided me through the correct way to fill out my W-4 for my specific circumstances.

I feel like an idiot now. After seeing everyone's comments, I tried Claimyr yesterday and got through to an IRS agent in about 2 hours (without me having to stay on the phone). The agent confirmed what others here suggested - I had somehow checked the "exempt from withholding" box on my W-4 when I started my new job. The agent walked me through each line of the form and explained exactly what I needed to enter based on my salary and family situation. They also helped me calculate how much additional withholding to put on line 4(c) to make up for the 3 months of missing withholding. Seriously can't believe I went from thinking this was a scam to having my tax problem completely solved in less than a day. Lesson learned!

One thing nobody mentioned yet - you might want to check if you actually qualified as exempt last year. If you didn't owe any federal tax last year AND don't expect to owe any this year, you can legally claim exempt. But based on your salary and situation, that's probably not the case. I make about $39,000 with two kids and I still have federal taxes withheld, though not a lot. At $48k with one dependent, you should definitely be seeing something taken out. The IRS withholding calculator (google it) is really helpful for figuring out the right amounts.

Slightly off topic but does anyone know if you can claim exempt for a few pay periods if you know you're getting a big refund? I way overpaid last year and got back like $4,500 and I'm on track to do the same this year. Rather have that money in my pocket now.

This is exactly what happened to me last year! The "exempt" box is so easy to accidentally check, especially when you're rushing through paperwork on your first day. I didn't realize it for months until my wife noticed our tax situation looked weird. One thing that really helped me was setting up a simple spreadsheet to track what should be withheld versus what actually was. For someone making $48k as head of household with one child, you should definitely see federal withholding - probably somewhere in the $50-80 range per paycheck depending on how often you're paid. When you submit your new W-4, I'd definitely recommend adding extra withholding on line 4(c) like others mentioned. The IRS can hit you with penalties if you're under-withheld by too much, even if it was an honest mistake. Better to over-correct now and get a refund than owe a big chunk plus penalties next April.