IRS Calculator vs TurboTax's outcome

[michaeltee]

Hello,

When married filing jointly if I start with my W2s ( I had a different employer for about 2 weeks at the start of the year) TurboTax shows I would get a Federal refund of $312 and a NJ state refund of $1714. This is a bit higher but about in line with what the IRS withholding calculator shows if I enter my info for this year.

When I enter my wife's W2 it goes down to us owing $1320 Federal, and owing NJ State $1201. 

If I delete all our W2s and enter my wife's first it shows a Federal refund of $11,117 and NJ refund of $422, which is about in line but a little higher when entering her info into the IRS Tax withholdings calculator. But then entering mine goes back to owing $1320 and $1201

I understand that when our incomes come together that the numbers will change. But this change is insane!

Our gross total income combined is $187,751 and combined paid tax is 23,521. We both make about the same amount of money. Federal income tax withheld from her for the year was $16,857, and from me $6664. I believe she is not claiming our son as a dependent on her W4, but I am.

Can someone help me out with what is going on here please? Thank you!

[xmasbaby0]

WHY DID MY REFUND GO DOWN WHEN I ADDED ANOTHER W-2?

You started off with your first W-2 and your refund looked high?  Then you added another W-2 and it stopped looking so good? That is normal.  When you added more income, your tax liability increased, so you saw your refund decrease.  The program began by giving you your standard deduction—- which lowered your taxable income.  (if you are filing joint it took $25,900 off your income right off the bat)   So you are not being taxed on as much of the income on that first W-2.  Then you added taxable income--so the refund went down. Your refund (or tax due) is based on the total of your income, not “per W-2.”  

And…adding income may affect other credits you were getting like the earned income credit.

Wait until you have entered ALL of your income and credit/deduction information.  You can't really tell anything until it is all entered.  That “refund monitor” does not mean anything until everything has been entered.

https://ttlc.intuit.com/questions/2273878-why-did-my-refund-drop-when-i-entered-another-w-2

[MinhT1]

Please remember that the refund indicator is not at all accurate while you are still entering tax data in your tax return. It gives only an instant indication of the refund and as you enter more information, your refund can drastically change. The order in which you enter the W-2 will not change the final result.

Please read this TurboTax Help article  which explains the main reason your refund drops when you enter a second W-2 in your tax return.