To adjust your withholdings TurboTax has an amazing tax caster to generate an updated W-4: W-4 tax calculator
As you both work be sure that you fill out W-4 forms for each of you. You can also consider increasing your withholding from the higher paying job to account for your dual incomes.
When completing your W-4 forms, ensure you account for all sources of income. The US uses a progressive tax system where your tax rate increases as your income rises which can push your combined total income into a higher tax bracket which is likely why you have been penalized in the past for under withholding.
Have an amazing day. Evelyn M (CPA 20+ years)
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