98 hours this pay and $1000 taken off in taxes/pension

[missmiamoore]

Hi there: I am a new grad working in Ontario Canada. As the title of this post says, I got a whopping deduction on my latest pay check. What I am wondering is when is working overtime not worth it anymore due to taxes and other deductions? It seems the more you make the more gets taken off. How many hours approximately would you say is worth the money you actually bring home? I am thinking around 80 per 2 weeks...What do you think?

[missmiamoore]

$1000 is alot of money. Even if you get free health insurance. I heard the trick to avoid major taxing on ones check was to not do over time at your regular job but to get the xtra money from a part time job. I am not sure if this actually works. Please feel free to correct me if I'm wrong.

I work with a more seasoned nurse who does this. She works full time on a cardiology floor and works casual (1-2 shifts per week) on a small med/surg floor at a community hospital near her home. She does this to avoid the taxes. However, I am not sure if she will have to pay extra taxes at income tax time, due to not enough being taken off her total earnings...

[HM2VikingRN, RN]

Missed that part as I was reading the form. It says that I can claim one exemption for myself. Does it really make much of a difference if I do that?

You can claim one for yourself, one for your house, one for contributions to your tax deferred account...(IOW 3 deductions.)

[lpnflorida, LPN]

You can claim one for yourself, one for your house, one for contributions to your tax deferred account...(IOW 3 deductions.)

are you speaking of on the w4 forms or are you speaking of our yearly federal tax we send in?

on my federal form yes I claim myself as a deduction, I claim the amount of interest and taxes I pay on our home. I claim the amount I put into my 401 k account. My state does not have state tax so I do not get a break there. I can use either the standard sales tax given for my income or if I have kept every darn recent for the year I can itemize that also etc, etc, as I said some years with the standard deduction now being 7,500 I think that was what it was last year. My amounts do not add to that so I can not go long form I have to go short form , check out how much your net pay is minus 7,500.00 look at what the tax is you would owe. That is how I know, I am not playing around with my w4 deductions it stays 0.

For other people their individual financial circumstances , numbers of dependents all makes a difference as to how to avoid paying more than you put in.