Welcome Guest. Sign in or Signup

6 Answers

How many exemptions can I claim?

Asked by: tmoran 2463 views YA Discussion

I am 23 years old and just started working at a new company where I work full time at $ 15 an hour. I live on my own in an apartment and currently claimed 3 exemptions on my W2. Is there a way to calulate how much more per pay period I would receive as opposed to claiming 1-2? I would like as much out of my paychecks as possible without owing money at the end of the year on my return. Would I benefit from claiming Head of Household? In the past when I have claimed myself with 1 job, my takes have been roughly 12-14% and I have been receiving 500-700 on my tax return. How can I optimize this for maximum paychecks?

6 Answers

  1. card-ron on May 26, 2012 Reply

    You can play around with seeing how claiming different allowances will affect your paycheck using the calculator at http://www.paycheckcity.com.

    You cannot claim head of household unless you have a qualifying dependent.

    Assuming you do not have a qualifying dependent, you cannot be claimed as a dependent yourself, and all of your income is from wages, claiming three allowances on your W4 is probably too high and you will likely end up owing when you file. Claiming two allowances will likely get you real close to your actual tax liability. When you file your return you may get a refund of $ 100 or so, you may owe $ 100 or so, but it will be close.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  2. Wayne Z on May 26, 2012 Reply

    Generally Rule:

    0 – Refund
    1 – Refund
    2 – Close to Break Even
    3 – Owe

    f you claim 3 all year, you will most likely owe when you file your return.

    You do not qualify for Head of Household. Head of Household requires a qualifying dependent.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  3. Bobbie on May 26, 2012 Reply

    ALLOWANCES on your W-4 form RIGHT.
    No your W-4 form does not have HOH on it all for this purpose.
    Claiming Single and 3 ALLOWANCES on your W-4 form my guess would be that you will probably end up owing some FIT when you do complete your 2012 income tax return during the 2013 tax filing season at that time.
    W-4 Line 3 Single, Married, Married, but withhold at higher Single rate.
    NOW you only have 3 choices on your W-4 NO HOH at all.


    Here you go you can try and do your own estimated tax calculations at this time in your life for this purpose since you are the only one that would know all of the needed necessary information at this time.
    http://www.irs.gov website and use the search box for 2012 Form 1040-ES (OTC)
    Estimated Tax for Individuals


    Copy and paste the below enclosed website address into your browser address bar for this purpose.


    Enter your filing status, income, deductions and credits and we will estimate your total taxes for 2012. Based on your projected withholdings for the year, we can also estimate your tax refund or amount you may owe the IRS next April 2012.
    In 2011, Federal income tax rates were scheduled to increase to pre-2001 levels, but the “Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010″ left the existing tax brackets in place through 2012.
    You probably can find an estimated tax calculator for your state income taxes by going to your state income tax department website and use the search box for estimated tax calculator at that time in your life.
    I would hope that you do find the above enclosed information useful for your situation and good luck to you with this matter. 05/25/2012

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  4. Lynne on May 26, 2012 Reply

    To claim head of household you must be supporting a qualifying person. There are lots of rules for this but basically you would need to have a family member living with you who you are paying for or a parent living elsewhere who you are paying for. So if you are living by yourself and supporting just yourself, you are single not head of household.

    If you have been working all year and claiming 3, you will probably owe about $ 600 at the end of the year. I would cut it down to 2 for now.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  5. tro on May 26, 2012 Reply

    you can go to http://www.irs.gov and find the W-4 calculator to help you
    for 2012 your non taxable income as single with no dependents is $ 9750, anything in excess of that is taxable and the lowest rate is 10%, rising as your excess increases
    and no, without a qualifying dependent, you are not head of household

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  6. Judy on May 26, 2012 Reply

    Unless you have dependents, deductions or credits you don’t mention, 3 is already too many – claim 1 or 2. With 2 you’ll either owe a little when you file, or get a small refund. Claiming 3 you’re likely to owe hundreds of dollars.

    Enter your info at paycheckcity.com to play what-if.

    Nothing you have said indicates that you can file as head of household. You need a closely related dependent for that.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

Your Reply