do you claim 0 or 1 when filling out forms when getting a job?

Question

I want withholding tax deducted from my paycheck so I get money back on my income tax. Do I claim 0 or 1?

Answer 1

claim 0. Takes more tax out

Answer 2

1

Answer 3

It's silly to claim 0 in order to get a bigger refund, because IT'S YOUR MONEY IN THE FIRST PLACE.

You're not getting more money overall, you're letting the government hold it and use it without interest. You're basically giving the government an interest free loan.

You would be better off (that means you'll have more money in your pocket) if you claimed the regular # of deductions at the start, and got some of that money in each paycheck. Of course, you have to have just a smidgen of self-control to put that money into a savings account, or to invest it. But almost anyone can do that...

And if you're just a bit more organized and disciplined, you can claim more than 1 deduction, and end up owing the government some money at the end of the year. Assuming you save it, and you don't spend it through the year, you're getting an interest-free loan from the feds this way.

Answer 4

If you claim zero, they'll take more out and you'll get the extra back as a refund when you file. If you are single and not a dependent, you can claim one, but that would likely give you just a small refund at the end of the year because you'd have gotten the rest through the year in your paycheck.

Answer 5

You would claim 0, however, using your income tax return as a savings account is very wasteful. You could take the additional money they take out and place it in a savings account instead of the government holding it for 1 year and not paying interest.

Answer 6

everyone saying 0, are not smart investors. The govt will tak more out, and hold it until your refund at the end of the year, which will be more then if you choose 1. But the IRS doesn't pay interest, so they just hold you money all year for you? pick 1, pay them less, and put the difference into something that actually pays interest.
0 is for people who want a larger refund, in reality the govt didnt' need that to begin with, so they hold your money and use it at no charge

Answer 7

Claim 0 if you want more money back at the end of the year.

Answer 8

I claim 0, at a single rate (married people don't have as much for tax), plus another $20 for federal.

I like getting money back at tax time. That way I can use it for something big.

Answer 9

This is a win-lose situation!
If you claim 0, you'll get more money taken out of your check, which means you'll get more money back at the end of the year...
But, if claim 1, you'll get less money taken out of your check, and you'll get less money at the end of the year.

If you want more money back on your income tax, claim 0, but, if you need the money now, I would claim 1.

Answer 10

then claim 0... that takes the maximum amount of taxes out through the year and makes it more likely for you to get money back at tax time.