Message Font: Serif | Sans-Serif
No. of Recommendations: 0
<<After doing 99 taxes my husband and I need to pay an
additional $96.00 per pay (q 2 weeks) in order to break even
with the irs.>>

Do you REALLY want to break even? Do you know that you can
owe Uncle Sammy up to $1,000 come April 15th and not pay any
penalty? Give that some thought!!!

Do you know you can owe Uncle Sammy $100,000 come April 15th and not pay any penalty? of $1,000,000? If you are underpaying using the correct exemptions, no problem. Just don't LIE on a W-4 to reduce withholding to less than you know you'll owe. However, you can legally reduce withholding to equal last year's tax even if you know this year will be higher by any amount, and regardless of number of exemptions. Ed
Don't use a tax deferred annuity for this as you have to take it out next year to pay the tax deficiency. Invest it or put in in the bank.
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.