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Each quarter, month, week (whatever timeframe you feel like using). Calculate your taxes and then annualize the results. In other words, if you take your last paycheck for the quarter that just ended (March 31st) and multiply all the numbers by four, that will give you a rough estimate of what you're taxes will look like at the end of the year (assuming everything stays the same).

Run those 'annualized' numbers through Turbo Tax or just take the 'AGI' and run it up against some tax tables.

If they show a refund, reduce your witholdings, or vice versa.

A few caveots...

The tax brackets are actually dropping. So your 2001 version of Turbo Tax (or tax tables) will be a little off.

You're income, marital status, etc. could change.

This doesn't account for itemized deductions, though I guess you could 'estimate' that also.

Anyway, hope this helps....


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