Taxes and Exemptions

I'm curious about something. On a W-4 tax form you can put the amount of exemptions you want to claim. You can claim yourself for 1 or you can put 0. What does that mean exactly. Do they take out more taxes or less taxes depending on the amount of exemptions?

Thanks

If you are in school, you can claim yourself or not.

One way you get more taken out and get it back at the end of the FY. The other way less is taken out and you don't get as much back. I always used it like a savings plan

Yeah, I think I claimed 0 so I'd get more back at the end of the year. I just can't remember which does what.

I don't remember either... you might be able to google that

The more exemptions you claim on the W4 the less tax they take out of your check every payday.

U.M.

Ok thanks. Bailed out by the meat

The real question is, why would you want the gubment to hold more of your money until you get your return, when you could get it now, invest it and gain some interest on it? If you are like me and would end up buying mods with it, then I understand though.

Because no one likes to pay Uncle Sam (...or Meat) money at the end of the year.

every year i have to pay about $1500 or more, more then i had already payed in and i have never got any back. i claim single 0 and still this happens. i hate it.
although this is where kids and morgages pay off

You can put down whatever you want for number of exemptions on a W-4. But you better have the money ready on April 15th if you come up short.

Some people just can't save money. Having Uncle Sam hold some extra back all year long and then give it up all at once is all some folks have.

U.M.

this happens way more than it needs too. my dad is a mechanic and he will work on someones car but more often then not people want a payment plan. or try to stiff us.

That's why mechanics can hold cars for payment

we dont always

but most of the cars are not worth the hassle

Broke people FTL

i agree.


we had some people cause lots of problems over this crap

^^^ That's what I learned in college