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A Structured Manual on How to File Taxes With The Last Pay Stub

A Structured Manual on How to File Taxes With The Last Pay Stub

How to File Taxes With Last Pay Stub?

Paying taxes is everyone’s disfavoured and an inexorable annual event. There are sizeable layers to filing taxes. A plethora of questions arises amid the process like how to file taxes with the last pay stub or how to file taxes without a W-2 or paystub.  

Here in this article, we will address how to file taxes with the last paystub and address related concerns. Many times the employer fails to provide the W2 and at such times the pay stub comes to the rescue. The steps of how to file taxes with the last pay stub is a fairly simple process. 

The pay stub can be generated online and it contains all the information needed to file taxes. The question can I do my taxes with my last check stub, has a very straightforward answer. Having access to the last pay stub will give clarity on how much one owes and also if one is eligible for a refund. To file taxes with the last paystub online, which is known as e-filling is a legal process. 

Let’s look at the process of how to file taxes from the last check stub

Best Bet- E- filing

In case you are wondering, can I do my taxes with my last check stub? The answer is yes, and it can be easily done online. The pay stub can be used traditionally too, but in this case, it is important to notify the Internal Revenue System (IRS) in advance. 

Taxes can be filled online only under certain circumstances:

  • ~IRS states that the maximum gross income threshold for free e-filing is $57,000 presently. If one’s gross income crosses the set limit then they have to file the tax by printing and mailing the tax return
  • ~One cannot file taxes online if they are under 16 years of age and have not filed taxes in the past
  • ~If one is a resident of American Samoa, the Commonwealth of the Northern Mariana Island, Guam, or the U.S. Virgin Islands they will not be able to e-file. They can prepare their tax return online, print them, and mail it across. 

Barring the above-mentioned exceptions, one can use their last check stub taxes to do the needful. 

Also, read about pay stubs for self-employed

The Answer to the most important question- How to use your last check stub to file taxes?

More often than not, one starts wondering in January every year, how to file taxes from the last check stub. The last pay stub will be able to give most of the information required for tax filing if not all. But important information to be kept in mind to be able to file taxes with the last paystub is that one should be well versed in doing taxes. The rest of the information will be available in the W2 form provided by the employer. 

The pay stub will show 

  • ~One’s monthly or bi-monthly income, which is the main information that IRS will need
  • ~List all the tax deductions- local, federal, state, and medicare. The tax deductions are stated in abbreviations as:Federal Income Tax is listed as FED 
  • ~~State income tax will be listed as SIT 
  • ~~Medicare taxes will be listed MEDI

Once the above-mentioned deductions are looked at, one can use them to arrive at the final amount for tax payment.

Can you file taxes with your last pay stub – without a W-2? 

The W-2 is filled and provided by the employer. The W-2 contains important information that one needs to complete and file tax returns. But if this does not happen then one does wonder how to file taxes without w2 or paystub. 

Let’s see if one can file taxes without a W-2

No, one cannot file a return using your last pay stub without a W-2.  The last pay stub may not be an accurate statement of one’s annual earnings.  Some pivotal information may be missing in the last pay stub that may be imperative to file a tax return. 

In case one ends up filing the tax returns with incorrect or missing information, they would be expected to file the return again with accurate information. This could lead to an increase in the cost of tax preparation fees. Also, this means IRS will take more time to issue the refund. 

It is possible to use a pay stub to file taxes traditionally, but you'll need to notify the IRS that you're doing so, and fill out a 4852 form.  The answer to the question of how to file taxes using the last check stub is with the help of form 4582. 

When one considers filing taxes without form W-2, the difference between 1099 vs w2 has to be kept in mind. While both 1099 and W-2 are tax forms, 1099 is to report payments made to independent contractors.  The W-2 is given by the employer to the employees. In this case, the employer withholds payroll taxes from the employees’ salaries. 

Form 4852 – the next alternative

If one is impatient or cannot lay their hands on the W-2 in time then form 4852 is the way to go. One can file taxes with paystubs with the help of form 4852. The 4852 is a valid option even when the W2 form that has arrived is incorrect. This form is the substitute to file when W-2 forms are not provided by the employer at the right time. Many times the W-2 forms don’t arrive by February. In such cases, IRS helps the taxpayer to get the tax form from the employer or financial institutions. 

Form 4852 is not the path to getting swift tax refunds, but it is the alternative to providing the IRS to assist taxpayers to pay their taxes on time. 

Completing Form 4852

To file taxes with the last check stub taxes one needs the form 4852 and hence the process of filing this form has to be done with utmost care. Errors at this stage would mean delaying filing the taxes and attracting penalties.  Here the last check stub taxes are of great help.      

In this section, we will also consider what tax blocked mean on the paystub. It means that an employee is blocked from state or federal taxes. In simpler terms, no pay is being withheld from the payment of salary.  We would also suggest that it could be beneficial in consulting a tax professional as payroll taxes are not always straightforward. 

Filling the form begins with the following: 

  • ~Personal Information – full name, social security number, and full address
  • ~Why form 4852- at this stage explanation has to be given for the reason for using this form
  • ~~Filing taxes for the previous year
  • ~~Inability to get W2 from the employer or any financial institution
  • ~~Received incorrect W2 
  • ~~An important part of filling this form is to certify that one gave prior reasons to the IRS for submitting form 4852 instead of the W2
  • When one wonders, can I do my taxes with my last check stub; this is the section where one can file taxes with a paystub. At the end of the form input the following information
  • ~~Name, address, the Tax ID number of the employer
  • ~~Rest of the information from the last pay stub 
  • ~~One main thing to be kept in mind is that the topmost section is for employees who should have ideally got their W2 and the second section is for people who were meant to submit the form 1099 
  • ~~To file my taxes with the last check stub, input the following information 
  • ~~Wages, tips, and compensation
  • ~~Medicare wages and tips
  • ~~Social security tax withheld and tips
  • ~~Local income tax withheld
  • ~~Federal income tax withheld
  • ~~State income tax withheld
  • ~~Medicare tax withheld
  • ~Here one has to certify how one arrived at the information listed above.  In this section one is also expected to mention the efforts one put in to obtain the W2
  • ~Form 4852 is to be mailed along with the rest of the tax documents. It cannot be electronically filled.

Ways to get W-2 

The employers are expected to provide form W2 to employees by January 31. With everything going online, many employers have now started providing electronic W2s which can be accessed earlier than January 31. Also, bear in mind that if the employer has provided an erroneous W2, one will have to contact the HR of the company for help. Only the employer providing W2 can make changes to it. 

W2 can also be obtained by W2 visiting irs.gov and clicking on “Get Your Tax Record.” This will give the wage and income record having one’s personal W2 information.

How can Multiplier help in tax management?

As an employer providing duly filled W2 forms to all the employees is not an easy task. This is the place wherein Multiplier comes to the rescue.  Outsourcing HR solutions to Multiplier can take off your hands from 

  • ~Local & global payroll taxes
  • ~All the taxes the firm and its employees are entitled to fill- local, state, and federal taxes

Multiplier’s SaaS-based HR Solutions software is intuitive and secure.  We can assist in all your tax-related needs and be the friend that you need at this time of the year. We take care of your global teams’ payroll, taxes, self-employed paternity leave, social contributions, local insurance policies, and other HR-based needs in over 150+ countries.

Partnering with Multiplier will give you the freedom to focus on your core tasks. It takes away the taxation headaches into its own hands.

Multiplier is the trusted partner for industry giants like Stahl, Amazon, and Graphisoft for HR compliance and global payroll solutions.

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