If you know you're going to put $3,000 into an IRA, or money into a dependent care account or flexible spending account, add that up. Every time you reach that exemption amount, add another allowance on your W-4. |
It's a great road map to jog your memory. |
It's not going to be a deduction anymore, which was good. It's a credit, which is fabulous. |
They say, 'I'll do zero so I don't get in trouble.' What most people should know is that each [W-4 allowance] shelters an amount equal to the personal exemption amount. |