This is related to the question: In the US, how do we make tax withholding less if we lost our job for a few months?
For California, it seems that for a single person, the Allowance is 1.
However, when I calculate additional allowance, let's say if my mortgage interest is $42,000, and deduct $4803 from it as on Worksheet B line 2, then it is $37,197. So if we divide $37,197 by $1000 as on Worksheet B line 8, we get 37.
So does that mean we are claiming
1 + 37, which is
38 Allowances? That seems a bit weird, as I expected to only increase 1 to 3 or 7 or 8, but not to such a big number 38. Does
38 actually seem correct?
Related is the W-4 form... so it looks like we'd claim
$42,000 - $12,950, which is
$29,050 on line 4b on the W-4 and that's it?