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January 22, 2020
Question

Right now I claim 1 on my w4 for withholding taxes throughout the year. I was wondering what the max I can claim without having to pay in come tax season.

  • January 22, 2020
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1 reply

January 22, 2020

There's no set answer to this... it depends on your situation.  But bear in mind that the more allowances you have, the less tax will be taken out of your paycheck, which will increase your chances of owing taxes when you file your tax return.

And some people like to withhold just enough money to cover their projected taxes, while others like to ensure that they'll get a large refund come tax time.

That said, you can try various tax withholding scenarios by inputting your financial information into the IRS' Tax Withholding Estimator.  There, you can experiment with different withholding variables to see what looks best for you.

Then, see TurboTax Help article "How do I update my 2019 withholdings and print a new W-4?" for guidance on how to create a new Form W-4 for 2020.