Tax question.

[Justin]

I just signed all the paperwork for a new job... (I'll post another thread about that later, I'm VERY excited).

When I filled out the W4, or whatever the tax form is I followed the directions and ended up putting down a '3'.

Last time I followed the directions I ended up paying money, I was fucking pissed.


Does anyone have any input on what to write number wise? I always heard if you write 0 they will take out the most.

Honestly, I don't mine loaning the government money for a year, as long as I get it back on tax day. It doesn't bother me, I'd much rather not find out I have a shit load of money due.


Anyone have any input?

 

[Shytheed Dumas]

It all depends on your personal situation.

If you're single, renting, no dependents and using the EZ form, then you are probably best off claiming zero.

I am NOT a tax expert, but here's how I do mine: I currently itemize my deductions (mortagage interest, charitable donations, property tax, child's tuition, child tax credit, etc, etc, etc, etc). I claim exemptions for the following as 'married filing jointly': 1) myself, 2) my spouse, 3) our home's mortgage, 4) underage child tax credit, 5) underage child's after school and summer day care, 6) adult child's college tuition. My wife who makes less claims single and zero, since it is recommended that the lower wage earner do so.

My basic rule of thumb is that if you are not single, renting, with no deductions/credits, that you claim an exemption for yourself, and then one for every thing that has a serious impact on your tax return due to credits first, and deductions second. Since credits are rare and you will be fully aware of them, I would concentrate on deductions. Now for my legal disclaimer:

"I, shytheed dumas, am nothing but a tax payer who is subsidizing the blood sucking leech of the governement as little as possible. I am no expert, and my strategies are based soley on my desire to do what is legal and give the IRS the least that I possibly can... legally. My comments should be taken only as given: as my experience only and as no way giving advice on how to minimize tax burden for the rest of you sucka's." I.E., check with a qualfied tax expert before proceeeding with these suggestions. Aight, peace.

 

[kwnate]

0 will get you money. I claim 1 on my w4 so the govt doesn't get my money all year. I usually get some back, but I own a house so that helps... Before I owned a house I always claimed 0 and always got a nice return.

 

[Nick M]

3 means you have 3 dependents, including yourself. So in the end, you don't have 3 and will owe.

On the other hand, I don't put down 0 because that is giving the government an intrest free loan.

 

[Justin]

haha, alright, thanks guys, that's exactly what I wanted to know, I will have them change the form asap.

I am not married, I rent, I don't make much money compared to alot of people here so '0' is going to work best for me. I defiantly use the EZ form