First off Congratulations on your new home and baby! How exciting and how smart to think ahead. As far as itemizing, If you are Married filing jointly your deductions have to exceed your Standard Deduction. For 2025 that is $30,000. httStandard Deduction vs Itemized
You will receive a child tax credit that will come right off of the tax owed.
Without knowing your taxable income it is hard to suggest how you should file your W4's
W4 calculator
PFL is taxed differently than other paid time off like sick pay or paid medical leave.
It's also different from Family Medical Leave Act (FMLA) time off, which is unpaid and has no effect on your taxes.
For PFL it is usually reported on a 1099-G. When benifits are provided through your state they are usually taxable to Federal and State taxes.
The calculator provided should give you a good idea how to file. Remember Married filing jointly will take less tax per paycheck than married filing separate. Also remember there are Income limitations to the child tax credit.
- Married couples filing jointly must have an adjusted gross income (AGI) under $400,000.
- IRS Child tax credit
Again Congratulations!
