How Virginia Withholding Tax is Calculated
| G = Gross Pay for Pay Period | P = Pay periods per year |
| A = Annualized gross pay | E1 = Personal and Dependent Exemptions |
| T = Annualized taxable income | E2 = Age 65 and Over & Blind Exemptions |
| WH = Tax to be withheld for pay period | W = Annualized tax to be withheld |
- G x P - [$8,500 + (E1 x $930) + (E2 x $800)] = T
- Calculate W as follows:
If T is: W is: Not over $3,000 2% of T Over But Not Over Then $3,000 $5,000 $60 + (3% of excess over $3,000) $5,000 $17,000 $120 + (5% of excess over $5,000) $17,000 $720 + (5.75% of excess over $17,000) - W ÷ P = WH
Example
John is married, with three dependent children. His spouse is blind. He claims a total of 6 exemptions:
- 5 personal and dependent exemptions; one for himself, his wife, and one for each of his three children (E1 exemptions); and
- 1 additional exemption for "blind" for his spouse (E2 exemption).
John is paid on a semimonthly basis, and his gross wages for this pay period were $2,500.
- G x P - [$8,500 + (E1 x $930) + (E2 x $800)] = T
2,500 x 24 - [8,500 + (5 x $930) + (1 x $800)] = T
$60,000 - [$8,500 + $4,650 + $800] = T
$60,000 - $13,950 = $46,050 - W is $720 + 5.75% of amount over $17,000 ($46,050 - $17,000 = $29,050)
5.75% of $29,050 = $1,670.38
$720 + $1,670.38 = $2,390.38 - W ÷ P = WH
$2,390.38 ÷ 24 = $99.60
Tax to be withheld per pay period is $99.60