IRS Urges Review of Withholdings

The Internal Revenue Service (IRS) this month began issuing a series of news releases aimed at helping taxpayers pay the right amount of tax and avoid an estimated tax penalty. NYSTRS urges all members to review the information, available at IRS.gov, and to discuss it with your tax professional.

From the IRS.gov homepage select News and look for the following releases:

• Avoid penalty for underpayment of taxes; IRS says check withholding, make estimated payments
• Retirees: Avoid a surprise tax bill; get enough tax taken out of pension payments; IRS Withholding Calculator can help

If you are receiving a NYSTRS benefit and want to elect a new withholding amount, file a W-4P Withholding Election and Certificate. Changes NYSTRS receives by the 12^th of a month will generally be reflected in that month's payment.

MyNYSTRS account holders have the convenience of updating their W-4P withholding election online, as well as the convenience of viewing past 1099 statements.