W-4 Status

[willimic]

Good afternoon.  Last year, my wife and I owed around $2000 on our taxes.  Combined we make around $250,000 per year, have two kids (ages 8 and 5), and file jointly with a standard deduction.  Any input you can provide on how to amend our W-4 so that we are not owing taxes (coming as close to breaking even as possible would be ideal) would be appreciated.  Thank you in advance.

Sincerely,

-Michael

[JBedford]

Hi, @willimic ! If your situation is more or less the same, then the simplest solution might be to just increase your withholding by that extra amount. For example, if this is to be withheld over 26 pay periods, then about $77 in extra withholding per paycheck should do it. Extra withholding can be requested on Form W-4, step 4, item (c). Hope this helps! 

[willimic]

@JBedford , this is actually very helpful and makes sense.  Would I need to do anything special when I file my taxes this year or will those extra withholdings be reflected on my W-2?

Thank you again

-Michael

[JBedford]

They will indeed be reflected on your W-2. 

[willimic]

Thank you and have a great day!!

-Michael