Question about less money being taken out of taxes

[wheels686]

My paychecks are about $10 bigger each week after obama signed the bill recently. My question is does this mean I am going to get less of a refund at the end of the year or does this mean I will get about the same and the goverment just adjusted the amount of taxes that I will owe.

I was thinking about going in and having the $10 additionally taken out each week so I could get a good refund at the end of the year. My fiancee thinks I should have it taken out in donations to help my refund.

anybody got any idea? anythings appreciated

 

[Cyclonepride]

Keep your money. Why on earth would you want the government to keep it interest free? Who knows how long it will take the federal government to go California on us and delay your refund?

 

[Klaverius]

Yes. That is exactly what it means.

 

[wheels686]

Keep your money. Why on earth would you want the government to keep it interest free? Who knows how long it will take the federal government to go California on us and delay your refund?

I like to think of it as a savings account that I cant touch. Sure I could hold on to the $10 a week but the likely hood that I wont touch any of that money at the end of the year is unlikely

 

[wheels686]

Yes. That is exactly what it means.

which part, the part that I will get less of a refund or that I will get the same refund and I just owe less taxes now?

 

[mj4cy]

Yep. Even if you have to pay more later on your tax return, you will have made interest on the time value of money in your possession.

 

[Cyclonepride]

I like to think of it as a savings account that I cant touch. Sure I could hold on to the $10 a week but the likely hood that I wont touch any of that money at the end of the year is unlikely

I forgot........California can't print money out of thin air, but the federal government can. Go for it.

 

[NebrClone]

Anything you get or don't get now will cost you over a thousand fold in future taxes to pay for all the deficit spending.

 

[Anonymous]

Yep. Even if you have to pay more later on your tax return, you will have made interest on the time value of money in your possession.

I think with the amount of money involved--$400--combined with low interest rates, the interest to be earned is nominal enough that it doesn't really matter.

If you would prefer to prevent yourself from accessing the money, and get it in one lump sum later, do it.

 

[CloneIce]

I am pretty sure this is the same as the stimulus check we got last year, just divided over the course of each paycheck instead of one lump sum.

 

[jdoggivjc]

I am pretty sure this is the same as the stimulus check we got last year, just divided over the course of each paycheck instead of one lump sum.

Personally, if they were going to do a stimulus, I would rather they did a lump sum instead of $10 a paycheck - $10 extra a paycheck is pretty much worthless to me; I can do some serious damage with a $1200 lump sum check.