What’s the right income tax withholding for you?

Description

Abstract: Each year, nearly three out of four taxpayers claim an income tax refund. To be sure, receiving a check from the IRS is nice. On the other hand, giving the government an interest-free loan for close to a year isn’t the best use of one’s money. This is why it pays to periodically review one’s withholding amounts. This article covers several reasons to modify these amounts and discusses how taxpayers can determine whether they should increase or decrease their allowances, and by how much.