My husband and I got married this year. My employer payroll clerk told me in order to prevent any delays with the IRS,I would need to update my name which I did and I could still claim single and have my employer take out the highest amount taken out-which is 0
However,I think I should claim myself married and have them take out the highest single rate.
What direction should I go with in order to get the most money back as I want to update this soon.
I live in Pennsylvania if anyone would ask.
2006-09-24 12:51:51 · 7 answers · asked by wsm0628 3 in Business & Finance ➔ Taxes ➔ United States
My husband is the breadwinner in the family and I work part time.We do not have any children.
Would it be best if I still claimed 0.My husband filed himself as married and claimed 0
2006-09-24 13:25:48 · update #1
Filing married, but witholding at a higher would take more out of your check to get a bigger return, however, you still have to consider your husband's income if you plan to file jointly. You can go to www.irs.gov and they have a tax calculator where you can figure out if you need to change your witholdings to keep from paying. I listed the link below. It is very helpful as I have used it in the past.
2006-09-24 13:07:38 · answer #1 · answered by jjodom1010 3 · 0⤊ 1⤋
When is tax due? The answer is tax is due when you earn it. NOT AT THE END OF THE YEAR BY APRIL 15, THE TAX RETURN IS DUE THEN.
So when you earn income the tax is due and pay at the time you received your paycheck.
Now W-4 is a system set up by the employer to do you a favor. It is there to withhold your taxes to federal and sometime state. If your change the W-4 on the federal it usually change the state. 41 out of 50 states have income tax. Most piggyback on federal information.
So the question is "What is your tax in 2006? When you change 2 major tax items in your life, 1) filing status and 2) income. The W-4 must reflect this information.
First question is income. You changed your income by increasing it with your husband, question is how much is HIS withholding and how much are you withholding. Changing YOUR W-4 may not help when you are not the breadwinner. Because if you or your spouse withhold too little, then bill will be on BOTH of your names.
Second question are your deduction, Are you Itemizing, do you own a home? This will affect your tax greatly,
If you want to find a quick way of how much tax you own then do this. Take last year (2005) return from both you and your husband,
Do it as marry joint, find out what the tax due are, divided by 12 month or 26 week or 52 weeks then you will know or get a close guess on how much both of you are short on withholding on your pay check.
My guess is your spouse should file w4 with line 3 as "married, but withhold at higher single rate" and line 5 as -0-, then adjust this rate on line 5 after April 15 next year to see how close both are on the withholding. Your w4 on line 3 is "Married" with box 5 set as -0- to be adjusting later too.
2006-09-25 09:55:59 · answer #2 · answered by Kenshin 5 · 0⤊ 0⤋
The rate for single and married with the single withholding rate should be the same amount of taxes withheld from your checks. So if you want to have the most withheld now and have a bigger refund at the end of the year. You will want to claim Married withholding at the single rate and 0 exemptions. Just make sure that between you and your husband that the total amount of exemptions for both of you on both of your w4 forms is not more than 2 exemptions total.
2006-09-25 15:20:22 · answer #3 · answered by jen 4 · 0⤊ 0⤋
If you want a lot of money held out, just specify the extra amount on your W-4. There's a line for this, so look for it. I don't know, but I doubt if there is any limit to the extra amount you can ask to have held out. I have one employee who has $20 per week held out over and above the "Married, Single rate" withholding and she has done this for YEARS, so it must be working out.
2006-09-25 00:06:20 · answer #4 · answered by Picture Taker 7 · 0⤊ 0⤋
Whoever is the bread winner claims the most dependents and the othe should claim one single. There is a lot of different variables as well like do you own or rent are their any children all of these things make a difference. I hope that this help best wishes.
2006-09-24 20:02:15 · answer #5 · answered by Barry G 5 · 0⤊ 0⤋
there are only to ways to file....married filing seperately or married filing jointly. You are legally married cant claim single. Even if you married Dec 31st for tax purposes you were considered married the whole year. Then according to your circumstances will have to decide which will be best for you.
2006-09-24 20:17:39 · answer #6 · answered by linluv2001 2 · 0⤊ 0⤋
By doing what you did, you will have the most money taken out of your check. That will lead to a larger refund when you file your taxes.
2006-09-24 19:56:20 · answer #7 · answered by Steve 6 · 0⤊ 0⤋