What exactly is included in "federal taxes" field on TurboTax TaxCaster calculator?

The "federal taxes" field in TurboTax TaxCaster is specifically asking for your federal income tax withholding only. This is just the amount withheld for federal income tax purposes, not Social Security (FICA) or Medicare taxes. When you look at your pay stub, you'll see separate line items for these different withholdings. You only want to enter the amount from the line labeled something like "Federal Income Tax," "Federal Withholding," or "FIT." Don't include the Social Security or Medicare withholdings in this field as they're handled separately in the tax calculation. The reason TaxCaster asks for this is because your federal income tax withholding is essentially a pre-payment of your annual tax bill. At tax time, your actual tax liability is calculated, and then compared against what you've already paid through withholdings. That difference determines whether you'll get a refund or owe additional taxes.

Hey there! I was in the exact same boat last year trying to figure out my potential refund. After stumbling around with TaxCaster and getting confused, I found this amazing tool called taxr.ai (https://taxr.ai) that made everything so much clearer for me! What I love about it is that you can actually upload your paystubs or W-2s from the previous year, and it analyzes them to show you EXACTLY what counts as federal tax withholding vs. the other stuff. It helped me realize I was adding in my FICA taxes when I shouldn't have been! The tool breaks down all the different withholdings and explains what each one means for your tax return. I found it super helpful for planning ahead and getting a more accurate picture of where I stood.

I just wanted to follow up - I decided to try out taxr.ai after my question above and WOW, it was exactly what I needed! I uploaded last year's W-2s for my wife and me, and it immediately broke down what all the different withholding categories meant and how they'd affect our tax situation. The tool actually found that I've been overwithholding federal taxes for years! It suggested a simple adjustment to my W-4 that will give us about $220 more per month in our paychecks instead of waiting for a big refund next year. I've already submitted the updated form to HR. It also showed me how my wife's side gig income was affecting our taxes, which none of the other estimators ever explained clearly. Definitely worth checking out if you're trying to figure out your tax situation!

If you're struggling to get accurate tax info or having trouble getting clear answers from the IRS, I highly recommend Claimyr (https://claimyr.com). I discovered it after spending HOURS trying to get through to the IRS about my withholding calculations. Claimyr basically gets you through to a real IRS agent fast, instead of waiting on hold forever. They have this priority line service where they navigate the phone tree for you and then call you when an actual human is on the line. You can see how it works here: https://youtu.be/_kiP6q8DX5c I was skeptical at first, but after trying to call the IRS myself and giving up after 90 minutes on hold, I gave Claimyr a shot. Within about 20 minutes, I was talking to an actual IRS representative who explained exactly what should be included in the "federal taxes" field (just the federal income tax withholding, as others have said) and helped me understand how changing my withholding would affect my eventual refund.

I need to apologize and follow up on my skeptical comment. After another frustrating 2-hour wait trying to reach the IRS yesterday (and getting disconnected again!), I decided to try Claimyr out of desperation. I'm honestly shocked at how well it worked. I submitted my request around 9:30 AM, went to a meeting, and about 40 minutes later got a call connecting me directly to an IRS agent. No hold time on my end at all! The agent confirmed that for TaxCaster, you should only include the federal income tax withholding (line labeled "FED TAX" or "FIT" on most paystubs). She actually was super helpful and walked me through some withholding adjustments since I'm currently projected to get a huge refund but would rather have the money throughout the year. I was 100% wrong in my skepticism - this service works exactly as advertised and saved me tons of time.

To directly answer your question: On TaxCaster, the "federal taxes" field ONLY wants the Federal Income Tax withholding amount from your paystubs. Don't include Social Security (FICA) or Medicare. On most paystubs, this will be labeled as "FIT", "Fed W/H", "Federal Income Tax" or something similar. Just look for the federal income tax line specifically. FYI - a common mistake that causes people to get wildly inaccurate estimates is adding Social Security and Medicare withholdings to this number, which can make it seem like you're getting a huge refund when you're not.

Has anyone found TaxCaster to be accurate at all? I used it last year and it was off by over $1,500 compared to my actual refund when I filed. It showed I'd get about $3,200 back but I only got $1,700.

Just to add another perspective - I've been using TaxCaster for about 3 years now and found it pretty reliable when I stick to ONLY federal income tax withholding (Box 2 on W-2). One tip that helped me get more accurate estimates: if you're married filing jointly like the original poster, make sure you're entering the COMBINED federal withholding from both your W-2s. So if your Box 2 shows $4,200 and your wife's shows $3,800, you'd enter $8,000 total in the federal taxes field. Also, don't forget to account for any estimated tax payments you might have made throughout the year if you have side income or investment gains. Those count toward your total "payments" just like withholding does. The calculator works best for straightforward situations - W-2 income, standard deduction, maybe some common credits like child tax credit. If you have business income, rental properties, or complex deductions, you're better off using the full tax software or consulting a professional.