Post your tax refund (or amount owed) here!

[Mvp2014]

Owe about $15,000.

Smartest way to have your witholdings.

Withold as little as possible and not trigger penalties. Have the additional amount direct deposited into a savings account. Earn interest all year. Pay taxes at the end of the year from the separate account.

As long as you are diligent and don't spend the extra cash (reason for separate account), you not only do not give the gov't an interest free loan, you actually earn interest on their money.

Definitely the smartest way. I'm too lazy though.

[MadHatter]

^^ gotta be careful if you try.

Friend of mine tried it and spent some of the money. Then ended up with a tax liability that was an issue when he did his taxes.

[CRA]

I pay every year. Have for awhile. Don't like the idea of the gov holding onto my cash.

[Davidson Deac II]

^^ gotta be careful if you try.

Friend of mine tried it and spent some of the money. Then ended up with a tax liability that was an issue when he did his taxes.

I put the extra in my 401k, then just pay the taxes out of my unexpected expenses savings account.

[Hotsauce]

Something that poor people with kids get, and then blow it all on drugs and rims for their car or truck. ;)

:(

[Davidson Deac II]

Fwiw though, if someone is getting a big refund due to EIC, then withholding doesn't really matter.

[Mvp2014]

^^ gotta be careful if you try.

Friend of mine tried it and spent some of the money. Then ended up with a tax liability that was an issue when he did his taxes.

Yea that's why I wouldn't do it. I guarantee you that would either turn into new carpet or a beach trip.

[Davidson Deac II]

:(

Got to get me some of those. :)

[Zcustom]

Fwiw though, if someone is getting a big refund due to EIC, then withholding doesn't really matter.

This is me. I claimed tax exempt all last year and still got 5k back.

Buuuut I have a wife who stays at home with my 2 kids AND my salary is criminally low for what I do.

[MadHatter]

I put the extra in my 401k, then just pay the taxes out of my unexpected expenses savings account.

My 401k is usually maxed out by April-May.

So, I have to go the savings account route.

[Wither]

I could care less if the government holds onto my money and earns interest on it. As long as I don't have to pay at the end of the year I'm happy.

[KSpan]

We got back around $4600 but had our first child last year, our first full year of mortgage interest, I didn't work nearly as much overtime, and my wife didn't work for ~ 16 weeks due to bedrest and maternity leave. Every year before this one we have owed, and I plan on getting back to owing a little bit this year.

[Skew]

I could care less if the government holds onto my money and earns interest on it. As long as I don't have to pay at the end of the year I'm happy.

I'd be glad to hold the rest of your money for a year, then return it without any interest if that would make you happy as well.