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PART-YEAR WITHHOLDING METHOD GIVES STUDENTS A TAX BREAK

The part-year withholding method is available to anyone who works just part of the year. It can also pay off handsomely for college students who work only during the summer, advises Changing Times, the Kiplinger Magazine.

To see the advantage, consider a student who gets a job that pays $800 every two weeks. The regular withholding method would claim $89 every payday, for a total of $534 over 12 weeks.If the employer agreed to use the part-year withholding method, however, no federal income tax would be withheld from the first four paychecks and a total of $187 would be withheld from the last two. That would give the student an extra $347 in take-home pay during the sum-mer.