monthly stipend tax

[andyjl]

how much percent does the government tax on the monthly stipend?

---

Members don't see this ad.

 

[shamrock2006]

For some reason...its been different for people..at least those I've talked to. Each pay period I only get $6 taken out..but other people's have been $50..I dont know if maybe they are residents of states that take taxes or not.

 

[umkcdds]

you need to make sure that taxes are being withheld from the stipend, just like it was any other income. otherwise, come tax time, you will find out you owe a bunch of money.
i've known more than one hpsp student who the Army/dfas screwed up their withholdings, so this exact thing happened for at least one year of their hpsp.

 

[jim85213]

I was told by the Navy that the tax rate is generally (note the use of the word generally) 18%.

 

[Smills91]

I was told by the Navy that the tax rate is generally (note the use of the word generally) 18%.

That'd move the stipend down from about $1906 a month to $1563. That seems quite high for making just $26,000 a year in stipend money.

My friends that are on the stipend say they lose around 150-200 a month from taxes.

 

[umkcdds]

it will vary from state to state. for instance, states like TN, TX and NV that don't have state income taxes will only have federal taken out, so less overall.
i don't know what the percent is for the federal bracket you are in at $26,000 per year, but whatever the percent is that is taken out, you should get almost all of it back in a refund when you do your taxes (assuming you have been paying the taxes correctly, unless of course you have a spouse with a high income).

 

[jim85213]

That'd move the stipend down from about $1906 a month to $1563. That seems quite high for making just $26,000 a year in stipend money.

My friends that are on the stipend say they lose around 150-200 a month from taxes.

I've noticed the same, that's why I emphasized "generally." Taxes are hard to nail down to concrete figures because of all the variables in US tax law. It really gets frustrating especially when you are married with kids in dental school and need to budget as accurately as possible.