Claiming dependents

[fismail2010]

My husband and I file married jointly...we have two kids and we felt that we did not get enough of a return last year...what is the best way to fill out my husband's W4 form for work so that our children are claimed correctly and we get the best return? 

[Gabriella_EA]

If you feel that you did not get as large of a refund as you would have liked and want to adjust W-4 withholding to change your results, one of the best ways to do this is to use the IRS Tax Withholding Estimator. You'll need the following information: 

• Paystubs for all jobs (spouse too, if applicable)
• Other income info (side jobs, self-employment, investments, etc.)
• Most recent tax return

Once you finish with this tool (which generally takes about 15 minutes), you'll be able to see your expected refund for 2024 and make adjustments as you'd like. It will then tell you exactly how to change your W-4 to get the desired results.

I do want to make a quick note that if the only change you're looking to make is W-4 withholding, you're ultimately not affecting how much money you pay in tax, just the timing of when it's paid. In reality, all you're doing is making each paycheck smaller in order to make a tax refund bigger. If this is your preference, the instructions I provided above will help get you there.

[Opus 17]

Remember that changing the W-4 does not change your tax liability -- the amount the government takes from you over the year, after considering any payments, withholding and refunds.  If you have more money withheld from each paycheck, you will get a larger refund but you will have less take-home money in each paycheck to spend on weekly or monthly expenses.  A large refund is really just an interest-free loan to the IRS.