2007-08-08 12:14:04 · 5 answers · asked by x 1 in Business & Finance ➔ Taxes ➔ United States
I've attached a link to www.paycheckcity.com. That site is a paycheck calculator, which should help you with the W-4.
2007-08-08 16:54:48 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Nobody will question you or require any proof of what you put on your W-4 so it's up to you to decide what to claim.
The way it works is this...
The more dependents you claim, the more money you will take home because less Federal and State taxes will be taken out of your paycheck.
Using Federal tax as an example, you can claim yourself as a dependent, your daughter and you can claim another one if you have one job. By putting 3 dependents on your W-4, you will have more take home pay.
Ideally, you should break fairly even at the end of the year when you file your income tax returns. If you don't have enough tax taken out of your paycheck, you might owe the IRS some money. Too much taken out and you may get a refund.
2007-08-08 19:24:57 · answer #2 · answered by WilmaF 5 · 0⤊ 2⤋
It depends on your age and how long you have been living at home. If you have lived at home for over half of the year and have not provided over half of your support for the year, and are either under 19 or under 24 and were a fulltime student during at least five months of the year, then your parents can claim you as a dependent. If they can claim you, whether they do or not, you can't claim yourself - and they can claim your daughter, but you can't.
It's possible even if you don't meet the above rules that they could still claim you, but that would depend on your gross income for 2007, it would have to be under $3400.
If your parents can claim you, definitely claim zero allowances on your W-4. If they can't claim you, then you could claim a higher number. But it sounds like they can probably claim both you and your daughter on their taxes.
2007-08-08 19:43:00 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
You should start by seeing what your parents are going to do on their taxes. Then, most likely claim zero so you get something back at tax time.
2007-08-08 19:30:28 · answer #4 · answered by The Voice of Reason 7 · 0⤊ 2⤋
What do you mean? List your number of dependents as 1, you will pay less in taxes because your daughter depends on your income.
2007-08-08 19:18:14 · answer #5 · answered by cradduck205 2 · 0⤊ 4⤋