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Beginning this month, some employees may notice a change in their take home pay due to new tax rates for 2018. Employers have received withholding guidance from the federal government regarding the new tax rates under the recently-passed Tax Cuts and Job Act.

The changes in federal withholding will not impact payroll taxes such as Social Security and Medicare, which will remain the same for 2018. However, a decrease in federal withholding could cause an increase in the state of Alabama withholding.

As an employee, you should review your withholding to ensure that it is accurate. The IRS will release a new calculator and Form W-4 soon to help taxpayers do this.

Auburn cannot provide you with tax advice, and it is up to you to speak with a tax advisor regarding your personal situation. If you discover that an adjustment is needed, email or call 844-4145.