And I am earning bi-weekly $425 what would be my net pay?

I am dependant.............
at the end of the year l would receive money back?

If you file exempt, there will not be any money to receive back. That is what exempt means. It means you do not think you will owe taxes.

EXCEPT for social security/med, they will withold 7.65% total (around $32.62 each check) and there is no way to not pay this. You also do not get this amount refunded as you are (allegedly) paying into your future ''retirement''.

But if exempt no taxes withheld and nothing to return.

You will owe tax. If you are single, your W-4 should reflect ''single'' status with one exemption (unless you are a dependent of your parents - then put zero exemptions).

If u file EXEMPT, no Federal tax will be withheld but State tax might be & FICA & Medicare will be. If no Federal income tax is withheld, there is NO way that you'd get a refund. At $425 bi-weekly, you'd earn over $11,000 for the year & would owe about $560 in tax when u filed. To avoid any tax debt at filing time as a dependent, u can NOT file exempt with that income & must claim 0 withholding allowances.

Go here to see how much tax will be withheld from ur pay: http://paycheckcity.com

Also, if u file EXEMPT & owe taxes when u file, the IRS may issue a Lock Letter to ur employer forcing withholding at a level determined by the IRS regardless of what u can legally claim. The IRS can also hit u with a $500 administrative penalty for improperly claiming EXEMPT on ur W-4.

Read the instructions carefully when u fill out the form. Do NOT take the advice of the HR or payroll toads as most of them do not know what they're talking about when it comes to taxation. The instructions on Form W-4 r quite explicit & if u follow them u will be OK.

You would be breaking the law because you do not fit the requirements to claim to be exempt. The one you do not meet is that you need to not expect to have a tax liability this year. At $425 every two weeks and not even getting your own exemption because you are a dependent, you WILL have a tax liability this year so you do not qualify.

If you want to see your exact expected take home, run the calculator at http://paycheckcity.com/ and plug in your numbers.

Your net pay would depend on where u live, since there might be state and/or local taxes taken out. In any case, they will take out 7.65% for social security & medicare, or $32.51.

If u file as exempt, u wo not get a refund at the end of the year. l am not sure u understand just what a refund is. Through the year u might have money withheld from ur paycheck for federal income tax. At the end of the year, u prepare a form called a tax return to calculate how much tax u owe total for the year, & compare that to what was withheld. If u had more withheld than ur total tax, u get the extra back as a refund. If u did not have enough withheld, u have to pay the rest rather than getting a refund. Since as exempt nothing is withheld for federal income tax, there is nothing to refund.

And if u r going to make that much next year, be sure to change to zero allowances for January, NOT exempt, or u will have major problems when u file - u will NOT be exempt for next year, u will have tax liability. The reason u do not have any this year, if u just started now & did not have any other income this year, is that u wo not make much total in 2008.

Being a dependent and being exempt are not the same thing. File an amended W4, listing yourself as what you are.

About the allowances you should claim on W4: http://taxipay.blogspot.com/2008/02/filing-w4-employees-withholding.html