How many of you have increased the number of excemptions to get a bigger pay check? Does anybody keep a lower number of excemptions just to be able to get a large return? What do you feel is better more money on a weekly basis or having a large sum returned once a year?


I can understand from a interest perspective that getting a small or no return is best because that is money that can be earning interest and working for you. Still not having access to it is one way that insures it isn't spent right away

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Kimberly Proud Mommy to Bethany Rose April 2006

We claim all four of our kids all year. Then in the summer months when my husband has more hours he goes tax exempt. So in the summer we get a bigger paycheck. It seems to work for us. We don't owe at the end of the year and we still get a little return.

~Jenifer

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Jenifer
Proud wife to one amazing man
Proud mom to four awesome kids

April showers bring May flowers
"Trust in the Lord with all your heart and lean not on your own understanding; in all your ways acknowledge Him and He will make your path straight." Proverbs 3:5-6

My dh claims all of us, I claim zero. It always works out that we get a pretty hefty refund from the federal return with the child tax credits, but we usually owe the state a little bit.

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~Happiness is a large family~

I have talked w/ dh about this too. We get a big refund each yr. and usually its gone in 2 mo. for home improvements we can't afford any other time or paying off some debt. Dh wasn't too responsive. I think it would be wise as we have just accumulated more debt and have another monthly bill so we're in the red every month. I'm looking for part-time work but that's another story. It depends on your situation, I think, if you're doing ok month to month w/ money for savings and emergencies left over, you might not want to but if you're struggling to make ends meet it might be something to look into. I'd be worried we'd owe at the end of the yr.

It is ALWAYS better to get the money now, invest it and to even pay a SMALL amount in taxes instead of the government using your money, interest free, for a year to return it to you later.

Now, if I could only get my dh to FINALLY see that, but we get a refund every year and it drives me crazy! He doesn't claim all of us and I claim zero on my taxes for my part time job, but we still get a refund.

Can you tell it drives me crazy each year????

I prefer to claim zero exemtions and have them take out an additional $25 a week so that I get a huge return. In the past I have used it to pay down debt, now that I am for the most part debt free I am using it on things like a new bed and a hot tub (my plans for next years return)

I try to get as close as possible and will adjust our withholding through-out the year if needed.

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"Poor people work for their money. Rich people make their money work for them."

My Dh claims us all and come tax time we usually break even or we get a small bit back. I like the idea of getting it throughout the year and investing or doing what we want with the money, but I also like the idea of a large sum in Spring.

I've just been comtemplating this today. I am debating whether to add another exemption or not.. I don't think it would be a whole lot more in each pay, but every little bit helps..