Knowledgebase

When should I decrease my withholding?

You should generally decrease your withholding if:

you are eligible for income tax credits such as the child tax credit or credit for other dependents (Step 3), and/or
you are eligible for deductions other than the basic standard deduction, such as itemized deductions, the deduction for IRA contributions, or the deduction for student loan interest (Step 4(b)).

No. The form is divided into 5 steps. The only two steps required for all employees are Step 1,...

Your withholding will be computed based on your filing status's standard deduction and tax rates,...

You should generally increase your withholding if: you hold more than one job at a time or you...

The redesigned Form W-4 makes it easier for you to have your withholding match your tax...

Tax rates increase as income rises, and only one standard deduction can be claimed on each tax...