We just had a baby. I am currently claiming 1 on my W-4. Should I change it to 2?
2007-09-18 05:10:17 · 2 answers · asked by j1d4m 1 in Business & Finance ➔ Taxes ➔ United States
It's up to you. If you don't make the change, then you'll get any extra withholdings back as a refund. Makes sense to get it in your paychecks though.
Depending on your income, a baby will likely add more that one allowable allowance for your W-4 because of the child tax credit. Look at the worksheet.
2007-09-18 05:28:48 · answer #1 · answered by Judy 7 · 1⤊ 0⤋
The worksheet lies.
If you want the good possibility of money back at the end of the year, don't change it. If you want the slight possibility of gettnig it back, change it. In the end, it doesn't matter cuz your tax liability won't change.
2007-09-18 07:15:24 · answer #2 · answered by Z28_Zeppelin 2 · 0⤊ 0⤋