I'm getting a head start on this year's income taxes for my wife and I. I have my W-2 already and I have her last paystub for the year.
I claimed one exemption on my W-4, and according to her paystub, she claimed zero. We do our taxes married filing jointly, and have no dependents. We both work full-time.
Somehow, we still owe $500 according to my tax software.
How is this possible? I would have assumed by her claiming zero, they would have withheld more tax from her paycheck, resulting in a refund.
- No other taxable income besides our two full-time jobs. I run a single-member LLC, but take no income from it at all.