Help me understand my 2024 W2 after moving to a new city

Thanks so much for explaining! That actually makes a lot of sense. Do you know if I'll need any additional documentation beyond my W2 to file with both cities? And will I need to figure out exactly what date I moved or should the amounts on my W2 be enough?

Your W-2 already has the income amounts allocated between cities, so that's the primary documentation you need. However, it's good to have proof of your moving date (lease agreement, utility bills, etc.) in case there are questions about the timing. For most tax software, you'll need to enter the date you moved as it determines how to allocate certain deductions and credits between locations. Your employer has already allocated the income, but the software needs the date to properly handle other tax elements. The specific date is especially important if the cities have different tax rates or rules.

Does it actually work with local city taxes? Most software I've tried handles federal and state okay but gets confused with local stuff, especially when you've moved mid-year.

I'm always skeptical of tax tools since they usually just tell you what you already know. Does it actually help with the filing process or just explain what the forms mean?

It absolutely works with local city taxes! That was actually the main reason I used it - to sort out the different local tax amounts after moving. It specifically identified both cities and explained how much I earned in each location. As for the filing process, it doesn't file your taxes for you, but it gives you step-by-step instructions on what to enter where, especially for tricky situations like filing in multiple cities. It saved me from making a huge mistake where I almost double-reported my local income. It's way more helpful than just explaining what forms mean - it actually contextualizes everything to your specific situation.

How does this service actually work? Does it just call and wait on hold for you? I've been trying to reach my city tax office for a week with no luck.

Sorry but this sounds like a scam. Why would I need a service to call a government office for me? And why would they be able to get through when regular citizens can't?

It uses an algorithm that navigates phone trees and waits on hold for you. When someone finally answers, you get a call connecting you directly to the representative. No more waiting on hold for hours - it does that part for you. They're able to get through because they have systems that continually redial and navigate the phone menus automatically. It's not that they have special access - they just have technology that handles the most frustrating part of the process. I was skeptical at first too, but when I got connected to my local tax office after trying unsuccessfully for days on my own, I was sold. The tax representative I spoke with cleared up my confusion about multi-city filing immediately.

Thankfully I stayed in the same state, just moved to a different city. But good point about checking state taxes for anyone who crosses state lines! Did your employer automatically split the state tax withholding correctly on your W2?

My employer did split the state withholding correctly, but they messed up the calculation slightly. They withheld at the Ohio rate for too long after I moved to Pennsylvania. I ended up owing a bit to Pennsylvania and getting a slightly larger refund from Ohio. The key is to check the withholding amounts against what you actually owed in each state based on your income during the time you lived there. If you worked remotely at all, it gets even more complicated because some states try to tax you based on where the work was performed while others go by your residence.

This is such important advice! My husband didn't notify his employer when we moved last year and they kept withholding taxes for our old city. Created a huge headache at tax time.