Going through my taxes (turbotax). I make about 4x what my wife makes, when I enter in my info (I think I have 3 deductions on my w4), it shows we get about 6k back. Once I enter her stuff in, it drops us to owing about 2500. I think she is claiming 0 dependents, which I thought took out the most.

She is not contributing to 401k, I am maxing mine out. What am I doing wrong with her w4? I prefer to get back at the end of the year.

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Posted by LSUSUPERSTAR

Member since Jan 2005

16305 posts

Posted on 1/23/15 at 8:45 pm to El Jefe

Is your combined income pushing you into a higher tax bracket? You may also have too many deductions on your W4 that when combined with your wife's income, too little tax is being withheld.

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Posted by El Jefe

_______(\___ southeast of disorder

Member since Jan 2004

1223 posts

Posted on 1/23/15 at 8:54 pm to LSUSUPERSTAR

Maybe so. It's putting us at a combined of ~160k. It's frustrating, because she just went back to work after about 5 years and I thought I was getting us in a good position, and then find out we owe.

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Posted by LSUtoOmaha

Nashville

Member since Apr 2004

26578 posts

Posted on 1/23/15 at 9:00 pm to El Jefe

quote:
Maybe so. It's putting us at a combined of ~160k. It's frustrating, because she just went back to work after about 5 years and I thought I was getting us in a good position, and then find out we owe.

This is a very distorted view of looking at it. You aren't "losing" money because your family has additional income.

This post was edited on 1/23/15 at 10:01 pm

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Posted by Tigerpaw123

Louisiana

Member since Mar 2007

17253 posts

Posted on 1/23/15 at 9:01 pm to El Jefe

Sounds like you need to take additional out of either check

But right now looks like you are making about 120-130 and her 30-35, while you are taking enough out of yours to be flush or get some back, when you add her 30 on top it is being taxed at the higher rate prob in the 30% range

Things would be different if you were making 50 and she added 25

This post was edited on 1/23/15 at 9:04 pm

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Posted by El Jefe

_______(\___ southeast of disorder

Member since Jan 2004

1223 posts

Posted on 1/23/15 at 9:02 pm to LSUtoOmaha

I agree, I was just trying to make it where I didn't have to stroke a check to Uncle Sam. Having 3 girls in private school, its good to get the money back to send to the Catholic Diocese. Not that I can't cover it, but I was expecting to get a return, not having to pay.

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Posted by El Jefe

_______(\___ southeast of disorder

Member since Jan 2004

1223 posts

Posted on 1/23/15 at 9:04 pm to Tigerpaw123

That makes sense. I guess when she was working 5 years ago, I was making significantly less, so that is probably the difference. Thanks for the input.

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Posted by LSUFanHouston

NOLA

Member since Jul 2009

37034 posts

Posted on 1/24/15 at 12:07 pm to El Jefe

Is her w-4 single or married currently?

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Posted by Speckled

Member since Oct 2013

102 posts

Posted on 1/25/15 at 10:14 am to El Jefe

The w-4 has a box to withhold extra. One of you needs to use this. Her withholdings are calculated on her wages. Does not take into account the money you make that puts you into a higher bracket.

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Posted by El Jefe

_______(\___ southeast of disorder

Member since Jan 2004

1223 posts

Posted on 1/25/15 at 3:42 pm to Speckled

Thanks all for the input. I think rather than additional withholdings I'll just move that to savings.

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Posted by Croacka

Denham Springs

Member since Dec 2008

61441 posts

Posted on 1/26/15 at 7:53 am to El Jefe

I make significantly higher than my wife does

We both claim married with zero dependents but I still have to withhold additional each paycheck so we don't come out in the hole at the end of the year

I'm still fine tuning the amount to get it close to accurate

I currently withhold an additional 150 per pay period

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