How many allowances to claim on W-4?

Lyft hdhsb
Jun 7 13 Comments

I am married with one kid NOT born in the US. I'm on H-1B and my wife(not working) and kid are on H-4. I generally get a big refund at the end of every tax year but I want to move towards a zero refund.

Apart from having a filing status of Married Filing jointly, how many allowances should I choose so that the govt withholds the optional amount of tax?

I heard that non US citizen kids don't have some tax benefit that US born kids have. Does that change the withholding allowances?

Any ideas?

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TOP 13 Comments
  • Cloudera Ohheythere
    Use the IRS Withholding Calculator. It'll tell you what to put to minimize over/under payment
    Jun 7 0
  • Cisco sonofsun
    It really does not matter. I put in single 0 all the time. Many here will disgree with me and say I am giving interest free loan to IRS. The higher the deduction lower the tax so you may end up with a surprise bill end of year. I pay highest tax possible and get it back end of year. I am pushed to live with less money monthly and I do not heavily invest in alternate forms so I do not care that I am giving it to IRS for hold. But you may be very good at investing your money wisely so follow the guidelines but be ready for some tax payment back end of the year
    Jun 9 0
  • Global Telecom & Technology / Eng
    iambroken

    Global Telecom & Technology Eng

    BIO
    Escalation Engineer for managed secure remote access
    iambrokenmore
    You can go from 4 to 6. It will end up paying a bit at the end depending on how much you get paid throughout the year including bonuses. I rather pay a little upon tax filing than let gov borrow my money for 0 interest.
    Jun 7 0
  • OpenTable Meliodas
    2
    Jun 7 3
    • Oracle pzd
      2 + 1 per kid right?
      Jun 7
    • OpenTable Meliodas
      Read the form. It explains this. Or, ask your CPA. The tax return would be required to calculate an accurate answer.
      Jun 7
    • Lyft hdhsb
      OP
      Till I get to see my CPA, what field should I check in my tax return to know this?
      Jun 7
  • Jet.com / Eng fpisfun
    2 for yourself, 1 for each of your dependent. So it should be 3 if you exclude your kid and 4 if u include.
    Jun 7 2
    • Lyft hdhsb
      OP
      Spouses don't count as dependents if you are filing jointly, right?
      Jun 7
    • Jet.com / Eng fpisfun
      She is not working, so she is your dependent.
      Jun 7
  • Cisco musigma
    Deduction for children with SSN: $2k/child
    Without SSN: $500/child
    But the problem is, your W-4 isn't aware of SSN non-availability, therefore your withholding will be for $2k, but come tax filing time, you will owe tax because withholding was lesser. It is convoluted, but that's how it is since last year.
    Jun 8 0
  • Yahoo gdn12gs
    4
    Jun 7 0
  • Principal Financial / R&D bnFq45
    https://www.irs.gov/paycheck-checkup will give you an interactive tool to check your withholdings for the year and make changes now so you'll have the amount at tax time.
    Jun 7 0