Most of the time, when you add a second W-2, your refund will drop. So, what you are describing is completely normal and expected. Most people see their refund go down, sometimes by a lot, after entering a second W-2. This is because we start you off with the full standard deduction, which we subtract from the income you’ve entered so far. You don’t get this deduction with each W-2 you enter, just the first one. This means your second W-2 will appear to be taxed more, but what’s really happening is that you’re getting a more accurate picture of your income.
Read over this FAQ to see an example. Why did my refund drop when I entered a second W-2?
TurboTax Live includes help from a tax expert when you need it, and the option for a final review of your return. Click here to see how to add this option if you are interested.
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