I am married with two kids. I currently claim 0 on my W-2 and pay a lot of taxes through out the year. I am wanting to change the number on my W-2 so that I pay less taxes through out the year and still end up not owing anything at the end of the year.
2006-08-10 03:14:38 · 5 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Ask for a new w-2. There are tables on it that will help you decide on the proper number of exemptions. It depends on the total wages and how many exemptions your husband is taking.
2006-08-10 10:21:53 · answer #1 · answered by Barkley Hound 7 · 0⤊ 1⤋
It all depends. A lot has to do with your saving habits. If you don't save money very well, a low number withholds more tax and you most likely get a larger tax refund. But if you're a good saver, it's much smarter to claim a higher number and have less tax withheld and potentiall pay tax later. The point is that the IRS doesn't pay interest on your "savings" that it's sitting on all year. It's better to keep as much as you can and collect interest and only give the government what it's owe, when you owe it.
Ideally you need to find a number that makes you break even, but that's hard to do because life happens and it affects your adjusted gross income.
2006-08-10 10:54:27 · answer #2 · answered by misslabeled 7 · 0⤊ 0⤋
3
2006-08-10 03:23:07 · answer #3 · answered by Anonymous · 0⤊ 1⤋
two.......it gives you more money now, and you'll still have a small return at the end of the year.
2006-08-10 03:20:47 · answer #4 · answered by Ken 3 · 0⤊ 1⤋
ZERO
2006-08-10 03:19:32 · answer #5 · answered by timestamps 6 · 0⤊ 1⤋