Taxphans

[D Leff]

I just noticed my paycheck had "Taxable Marital Status: S" listed on it, even though I'm married. Should I have that changed to married? Does that just change what is withheld or how much you are actually taxed?

Sorry, I'd much rather pester you people with this instead of an actual accounting/tax bored.

[udontknowme]

changes your withholding.

Your status (married, single, filing seperate) when filing determines your tax, so no effect on your tax paid/tax rate.

[D Leff]

Gotcha, thanks.

[common wealth]

I would change it, generally more is withheld if listed as single vs married. You're basically giving the government an interest free loan.

[Big Little]

There is that and then there is thinking of it as money set aside every year to use on a trip or pay bills, etc..

More paycheck money more spending, in my case anyway

If you are maxing out 401k and IRA's annually I would suggest single and 0 claimed you will always* avoid owing taxes at the end of the year, and if you have a lot of writes off you can usually get a nice return...

2 cents do with it what you will

[D Leff]

There is that and then there is thinking of it as money set aside every year to use on a trip or pay bills, etc..

More paycheck money more spending, in my case anyway

If you are maxing out 401k and IRA's annually I would suggest single and 0 claimed you will always* avoid owing taxes at the end of the year, and if you have a lot of writes off you can usually get a nice return...

2 cents do with it what you will

It's what I do now... I know the part about the interest free government loan, but if it's in my paycheck (or an easy way to get to it) I'll spend it... and I plan stuff around the big check in april.

[Riccardo]

Yep this

Financial guys will tell you should never be getting a refund from uncle sam.

[TerpEagle]

It's what I do now... I know the part about the interest free government loan, but if it's in my paycheck (or an easy way to get to it) I'll spend it... and I plan stuff around the big check in april.

I changed my withholding before I bought my house to get closer to net-zero on my return as I was trying to max my savings account.

Now that I have a nice tax deduction I've yet to change it again.

I suppose if I wanted to invest more aggressively I'd have an opportunity to make more money by getting it per paycheck but interest on a savings account is pretty paltry.

[Big Little]

Exactly

Like this years return I will be using it for Igglegaytes.. the Annualgayte and the Travelgayte, would like to make both next year!

[3rd & Inches]

I claim everything

Financial guys will tell you should never be getting a refund from uncle sam.

I want my money now, because my bills are due now. I set money aside every payday instead of waiting for the big return. I once was denied a car loan 12 years ago, so I'm not going to loan the government anything.

[TerpEagle]

Financial guys will tell you should never be getting a refund from uncle sam.

In terms of maximizing your money that's true. In terms of behavior and having money put aside that you really don't have to think about getting a return can be helpful.

A lot of it comes down to personal financial fortitude, budgeting and organization.

[Riccardo]

I like the idea of waiting to the very last minute to pay uncle sam

Get it post-marked as late as possible on the 15th!

[Big Little]

Hahah I am sure your CPA loves you... or do you do it yourself?

I use a CPA now, but I am pretty sure I can do this shit myself and save the $200

[Riccardo]

Yeah I guess if you're just gonna throw it in a savings account

Or even a money market fund, it doesn't make much difference these days. But if you would put it in equities, different story

[Riccardo]

Turbotax

Hasn't failed me yet (here comes el-jinxo)