I am married (she works) and we have a 2 year old child. We plan on filing jointly.
2007-08-13 04:31:47 · 5 answers · asked by Serafin S 1 in Business & Finance ➔ Taxes ➔ United States
On a W-4 you can legally claim up to nine (9) exemptions this reduces your amount of withholding taxes removed from your total gross pay, it does not reduce your tax burden.
As explained to me many years ago by a co-worker, if you can put in an interest bearing savings account an amount of money equal to what your taxes would be you will make money on the money that the federal government does not pay interest on and at years end when you file your taxes you withdraw the funds from this savings account pay taxes and start over with depositing weekly.
This is also a very good way to start your supplemental retirement savings account.
I do it faithfully and it is probably the best thing I ever started, I now save more then double what my tax burden is and my money is working for me.
Good luck
2007-08-13 04:46:07 · answer #1 · answered by Anonymous · 0⤊ 1⤋
This will depend on many factors. Do you own a house and do you live in a state where you can deduct your property taxes? Do you live in a state where you can deduct mortgage interest?
On page 2 of the actual W-4 form, there is a formula that you use to estimate your taxes and determine the number of exemptions based on the formula.
For example, I am single, but claim 4 exemptions because I can deduct my property taxes and my mortgage interest in my state (Illinois).
I am getting more money on my paychecks by claiming more exemptions now, but will get less back when I file on April 15.
2007-08-13 04:46:58 · answer #2 · answered by Stupid Flanders 7 · 0⤊ 0⤋
This Site Might Help You.
RE:
How many exemptions can I claim in my W-4?
I am married (she works) and we have a 2 year old child. We plan on filing jointly.
2015-08-06 07:21:45 · answer #3 · answered by Anonymous · 0⤊ 0⤋
You can claim up t nine, but keep in mine when you do this at the end of the year when you file, there will not be any refund as you are getting your money now. My advise to you is to claim the nine if you do over time and once OT is over then go back to 2.
2007-08-13 04:40:21 · answer #4 · answered by JayJ 2 · 0⤊ 1⤋
See the form below and fill in the blanks. Your wages will help to determine 'B'.
You get one for A & D
You need to figure out what's best for B & C & F & G depending on the child care.
2007-08-13 04:40:44 · answer #5 · answered by magnolia 5 · 0⤊ 0⤋
One for yourself. Then one or the other of you can claim an extra allowance for the child, plus an extra one or two because of the child credit (depends on your total income - see the form) plus possibly even more if you can claim other credits like the child care credit.
2007-08-13 06:14:22 · answer #6 · answered by Judy 7 · 0⤊ 1⤋