I can claim 0, 1 or 2.
2006-09-08 18:27:54 · 6 answers · asked by Caribou2 1 in Business & Finance ➔ Taxes ➔ United States
Yes claim yourself. But be careful. They less they take out now, the more they want in April. It is better to have more taken out with each paycheck than have to come up with a lot in April.
2006-09-08 18:32:40 · answer #1 · answered by a mom 3 · 0⤊ 0⤋
If you do not make much money per year, only work part of the year or have big deductible expenses, you might want to claim a higher number of withholding exemptions. Students should do this. If you work a summer job and make $6,000 in 3 months and have no earnings the rest of the year, your withholding will be done assuming that you will earn $24,000 per year. You will get a huge refund. If you want the cash up front, claim a higher number of withholding exemptions. Just beware that employers are required to notifty the IRS when someone claims more than 10.
There is no rule that says that you can not claim more withholding exemptions on your W4 than personal and dependency exemptions on your 1040. The W4 instructions provide a Deductions and Adjustments Worksheet on page 2 to calculate withholding exemptions if you know that you have large deductible expenses.
A married couple with one child will claim 3 exemptions on their1040. But due to large real estate taxes and mortgage interest on their home, they may claim more withholding exemtions based upon the W4 worksheet. They will get a bigger paycheck but a smaller refund in April.
2006-09-12 01:56:49 · answer #2 · answered by Tax Dude 2 · 0⤊ 0⤋
the more you claim the less they take out monthly yet if you qualify for a tax return at the end of the year it will be less. Bigger paycheck monthly claim 2 and they take out less. I can claim 0, 1, or 2 and i claim 0 and they take out massive amounts of money but I would rather them do that and get it back at the end of the year
2006-09-09 01:32:56 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes, claiming yourself would reduce the amount of tax taken out and increase your take-home pay. You will probably not owe anything when you file your return IF you have only one job and little or no other income.
2006-09-09 02:12:03 · answer #4 · answered by sselfe 1 · 2⤊ 0⤋
The more exemptions you claim the less will be withheld. That means more will be in your check. This does not change your taxable in come or total tax. the less you have withheld, the more you will owe (or less your refund will be) at the end of the year.
2006-09-09 20:34:43 · answer #5 · answered by STEVEN F 7 · 0⤊ 0⤋
No, only at the end of the year and than you will have a smaller return.
2006-09-09 01:30:35 · answer #6 · answered by bobcatlady2u 4 · 0⤊ 0⤋