claiming allowances on upsers.com

[pkg handler]

ok so I have been told I can at least claim 1 allowance ( myself ) on the w-4 form. I have even been told I can put 3 so I have for 2 paychecks and my taxes were considerably lower ,but understandably so. I've heard that come around tax season if i cant show 3 allowances they will ask for it back. I don't know if it were bad advice or not but I'm not sure..Can i keep 3 on it without any backfire..I'm not too savvy with all this at all

-single
-enrolled in school
-no kids

thats it .. any help would be appreciated

 

[trplnkl]

Then it is best to play it straight up and the way it is.

 

[drewed]

BAD BAD advice, I always claim 0, that way i always get money back better safe then sorry

 

[But Benefits Are Great!]

You were given bad advice. You can claim absolutely anything you want on the W4, with no repercussions whatsoever.

Anyone getting a significant tax refund at the end of the year has the wrong figure entered in this form. You never want to give a free loan to the government.

 

[UpstateNYUPSer(Ret)]

I claim 7 for Federal and 1 for State. The reason I claim 7 is that I have 25% going to my 401K and raising the withholding allowances to 7 allows my take home pay to stay about the same. My tax bill will be very close to zero after all of my other deductions and the 401K contribution coming right off the top.

You will find many helpful calculators on line to help you figure out how to properly fill out your W-4 for your particular situation. Try one of these and, if any changes are suggested, update your W-4 about midway through December so that the changes take effect 1 January. (Sorry, I was military and still write my dates this way.)

 

[trplnkl]

You were given bad advice. You can claim absolutely anything you want on the W4, with no repercussions whatsoever.

Anyone getting a significant tax refund at the end of the year has the wrong figure entered in this form. You never want to give a free loan to the government.

The guy said he wasn't too savvy, just trying to keep him out of trouble. BBAG, if you think having to come up with a couple thousand dollars when you are broke is not a repercussion you are making too much money.

 

[pkg handler]

sorry if im slow to comprehend ..This is really not a strong suit for me at all. So if i claim lets say 2 or 3 i will be in the ok , but will just receive less come income tax time ..? But with the 3 i should face no repercussions ..?

thanks ..sorry if im slow with all this ..just want it straightened out and the right information

 

[trplnkl]

sorry if im slow to comprehend ..This is really not a strong suit for me at all. So if i claim lets say 2 or 3 i will be in the ok , but will just receive less come income tax time ..? But with the 3 i should face no repercussions ..?

thanks ..sorry if im slow with all this ..just want it straightened out and the right information

They are correct in that this is not illegal. However if you misjudge how many to carry you could wind up having to come up the several hundreds of dollars come tax time, depending on what other deductions you may have.

 

[UpstateNYUPSer(Ret)]

You can legally claim as many or as few allowances as you want. The fewer allowances you claim, the more taxes are taken out. The more allowances you claim, the less taxes are taken out. I would advise that you play it safe and simply claim yourself; however, if you want to make sure that you have enough money taken out to cover your tax burden, you can always elect to have an additional amount taken out each week. This really shouldn't be necessary--just claim yourself and you should be just fine.

The only problem with getting a big refund is you have basically given the government a free loan of your money each paycheck.

 

[trplnkl]

The only problem with getting a big refund is you have basically given the government a free loan of your money each paycheck.

This is true, on one hand. On the other it is sorta like having a savings account that you close out once a year. My savings account only pays one % or less, I won't get rich on it nor will I go broke giving the feds an interest free loan for a year.

 

[UpstateNYUPSer(Ret)]

This is true, on one hand. On the other it is sorta like having a savings account that you close out once a year. My savings account only pays one % or less, I won't get rich on it nor will I go broke giving the feds an interest free loan for a year.

Excellent point and, in handler's case, I would advise that he play it safe and claim himself and make sure he is covered.

I have a co-worker who was so proud of herself for her $5K Federal refund. Yeah, the money is nice, but so is an extra $100 each week.

 

[rocket man]

C P A.

 

[UpstateNYUPSer(Ret)]

C P A.

Hiring a CPA to fill out a W-4 would be a waste of money, especially for someone with a basic tax situation.

 

[trplnkl]

Excellent point and, in handler's case, I would advise that he play it safe and claim himself and make sure he is covered.

I have a co-worker who was so proud of herself for her $5K Federal refund. Yeah, the money is nice, but so is an extra $100 each week.

My problem is that once it goes into the savings account, I don't want to ever take it out. So if I over pay a few bucks a week, I don't miss it at the time and get a self stimulus check in early March, close to my birthday. lol

 

[pkg handler]

You can legally claim as many or as few allowances as you want. The fewer allowances you claim, the more taxes are taken out. The more allowances you claim, the less taxes are taken out. I would advise that you play it safe and simply claim yourself; however, if you want to make sure that you have enough money taken out to cover your tax burden, you can always elect to have an additional amount taken out each week. This really shouldn't be necessary--just claim yourself and you should be just fine.

The only problem with getting a big refund is you have basically given the government a free loan of your money each paycheck.

so as in play it safe , just claim myself ( 1 allowance ) or do the allotted 3 and just not take as much home come income tax but make more per week basically due to lower taxes. The reason i elected to do 3 was that i was receiving around an extra 75.00 per check. But if it seems that using 3 is not the best of ideas for any reason ill resort back down to 1 .. only had it at 3 for 2 checks so no real big deal now but if possible would like to keep it there

 

[UpstateNYUPSer(Ret)]

so as in play it safe , just claim myself ( 1 allowance ) or do the allotted 3 and just not take as much home come income tax but make more per week basically due to lower taxes. The reason i elected to do 3 was that i was receiving around an extra 75.00 per check. But if it seems that using 3 is not the best of ideas for any reason ill resort back down to 1 .. only had it at 3 for 2 checks so no real big deal now but if possible would like to keep it there

It is totally your call.

 

[pkg handler]

It is totally your call.

thanks man .. just wanted to make sure its legit and if id face any penalties come tax season . I use turbo tax anyway so i keep it simple .. im not good with this stuff lol

 

[UpstateNYUPSer(Ret)]

thanks man .. just wanted to make sure its legit and if id face any penalties come tax season . I use turbo tax anyway so i keep it simple .. im not good with this stuff lol

I used to use Turbo Tax but they raised their prices this year and are now charging for preparing and e-filing more than one return. I just bought Tax Cut online (saved the sales tax) downloaded and installed it last night. $49.99 for Federal, State and 1 e-file. There are other versions available from Tax Cut that are cheaper that may suit your needs.

 

[pkg handler]

I used to use Turbo Tax but they raised their prices this year and are now charging for preparing and e-filing more than one return. I just bought Tax Cut online (saved the sales tax) downloaded and installed it last night. $49.99 for Federal, State and 1 e-file. There are other versions available from Tax Cut that are cheaper that may suit your needs.

nice ..thanks for the help man ..last yr was great i got all my fed and state tax back it was nice

 

[UpstateNYUPSer(Ret)]

nice ..thanks for the help man ..last yr was great i got all my fed and state tax back it was nice

I just noticed that you said that you are single and enrolled in school. That is why you got all of your taxes back last year and should do so again this year. Keep your withholding at 1.