Form R-1306 - Louisiana Withholding Tables And Formulas Page 2
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27COMPUTER FORMULA METHOD
The overall structure of the formulas used to compute the withholding tax is to calculate the tax on the total wage amount and then subtract
the amount of tax calculated for the personal exemptions and credits for dependents that the taxpayer claims for withholding purposes.
The correct withholding formula depends upon the number of personal exemptions claimed and annual wages. Any taxpayer may use the
single taxpayer withholding formulas; however, those taxpayers claiming 2 exemptions on their R-1300 (L-4) must use the married
taxpayer formulas.
1. Single Taxpayer Withholding Formulas
2. Married Taxpayer Withholding Formulas
W is the withholding tax per pay period.
W is the withholding tax per pay period.
S is employee’s salary per pay period for each bracket.
S is the employee’s salary per pay period for each bracket.
X is the number of personal exemptions; X must be 0 or 1.
X is the number of personal exemptions. X must 2.
Y is the number of dependency credits; Y must be a whole
Y is the number of dependency credits. Y must be 0 or greater.
number that is 0 or greater.
N is the number of pay periods.
N is the number of pay periods.
A is the effect of the personal exemptions and dependency
A is the effect of the personal exemptions and dependency
credits equal to or less than $25,000;
credits equal to or less than $12,500;
A=.021(((X*4,500)+(Y*1,000))÷N)
A=.021(((X*4,500)+(Y*1,000))÷N).
B is the effect of the personal exemptions and dependency
B is the effect of the personal exemptions and dependency
credits in excess of $25,000;
credits in excess of $12,500;
B=.0165((((X*4,500)+(Y*1,000))-25,000)÷N).
B=.016((((X*4,500)+(Y*1,000))-12,500)÷N).
If annual wages are less than or equal to $25,000, then
If annual wages are less than or equal to $12,500, then
W=.021(S)-(A+B).
W=.021(S)-(A+B).
If annual wages are greater $25,000 but less than or equal to
If annual wages are greater $12,500 but less than or equal to
$100,000, then
$50,000, then
W=.021(S)+.0165(S-(25,000÷N))-(A+B).
W=.021(S)+.0160(S-(12,500÷N))-(A+B).
If annual wages are greater than $100,000, then
If annual wages are greater than $50,000, then
W=.021(S)+.0165(S-(25,000÷N))+.0135(S-(100,000÷N))-(A+B).
W=.021(S)+.0160(S-(12,500÷N))+.0135(S-(50,000÷N))-(A + B)
Example 1
Example 2
Taxpayer is claiming 1 personal exemption and 2 dependency credits.
Taxpayer is claiming 2 personal exemption and 3 dependency credits.
Taxpayer is paid $700 weekly (52 pay periods, $36,400 annual salary).
Taxpayer is paid $4,600 bi-weekly (26 pay periods, $119,600 annual
salary).
The formula to use in this example is:
W is the withholding tax per pay period.
The formula to use in this example is:
S is employee’s salary per pay period for each bracket.
W is the withholding tax per pay period.
X is the number of personal exemptions; X must be 0 or 1.
S is the employee’s salary per pay period for each bracket.
Y is the number of dependency credits; Y must be a whole
X is the number of personal exemptions. X must be 2.
number that is 0 or greater.
Y is the number of dependency credits. Y must be 0 or greater.
N is the number of pay periods.
N is the number of pay periods.
A=.021(((X*4,500)+(Y*1,000))÷N).
A=.021(((X*4,500)+(Y*1,000))÷N)
B=.016((((X*4,500)+(Y*1,000))-12,500)÷N).
B=.0165((((X*4,500)+(Y*1,000))-25,000)÷N)
W=.021(S)+.0160(S-(12,500÷N))-(A+B).
W=.021(S)+.0165(S-(25,000 ÷N))+.0135(S-(100,000÷N))-(A+B).
The calculation for this example:
The calculation for this example:
S=700
S=4,600
X=1
X=2
Y=2
Y=3
N=52
N=26
A=.021(((1*4,500)+(2*1,000))÷52).
A=.021(((2*4,500)+(3*1,000))÷26)
=.021((4,500+2,000)÷52)
=.021((9,000+3,000)÷26)
=.021(6,500÷52)
=.021(12,000÷26)
=.021(125.00)
=.021(461.54)
=2.63
=9.69
B =.016((((1*4,500)+(2*1,000))-12,500)÷52).
B =.0165((((2*4,500)+(3*1,000))-25,000)÷26)
=.016(((4,500+2,000)-12,500)÷52)
=.0165(((9,000+3,000)-25,000)÷26)
=.016((6,500-12,500)÷52)
=.0165((12,000-25,000)÷26)
=.016(0÷52)
=.0165(0÷26)
=.016(0)
=.0165(0)
=0
=0
Remember, if any of the variables in the formula are negative, the
Remember, if any of the variables in the formula are negative, the
negative variable should be considered zero.
negative variable should be considered zero.
W =.021(700)+.0160(700-(12,500÷52))-(A + B).
W =.021(4,600)+.0165(4,600-(25,000÷26))+.0135(4,600-(100,000÷26))-(A+B)
=14.70+.0160(700-240.38)-(2.63+0)
=96.60+.0165(4,600-961.54)+.0135(4,600-3,846.15)-(9.69 + 0)
=14.70+.0160(459.62)-2.63
=96.60+.0165(3638.46)+.0135(753.85)-9.69
=14.70+7.35-2.63
=96.60+60.03+10.18-9.69
=19.42
=157.12
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