Hello,
How do I maximize my tax refund if both my husband and I work? We each claim 1 to have more withheld and we each have an additional $20 withheld per pay period for tax purposes. I make significantly more than my husband at $100,000 and he makes about $46,000 a year. I've been averaging about $6,000 refund per year but if I could get that increased that would be great.
From a financial perspective you don’t want to have a large refund because you are essentially giving the government a loan. That’s money that could have been in your pocket during the year.
Yes, but I'd rather have it as a lump sum instead of an extra $200 per paycheck. So can you just anwer my original question? I don't need actualy tax advice, I just need to know how to practically change my W2 to increase my refund.
There are basically two options that will result in your employer withholding more from each paycheck:
After doing this, I recommend checking your paystubs to be sure that the changes have taken place. You should also do some quick calculations to ensure that the increased amount is going to get you close to what you are anticipating for your refund. Here's a W4 calculator to help you: W4 Calculator