I'm changing my tax status from Single to Head of Household during the year. How do I adjust my allowances?

Question

I've been having taxes withheld so far as a Single, but I recently discovered that I'm qualified to file as Head of Household. Because I've been paying too much until now, I would like to reduce my withholding for the rest of the year to end up with the right amount.

Is there any way I can do this? I suspect I would need to fill out Line G, Other Credits, but if I try the calculator and click through to the help section (https://apps.irs.gov/app/withholdingcalculator/helpdocs/taxcredits.htm) on this topic, I don't see anything in here that relates to 'paid too much until now because changing filing status'.

Is it correct that I should use "Other Credits" for this, and if so, how do I calculate what amount to fill in?

Answer 1

The basic withholding calculator handles this fine, no monkeying with credits. It asks you how much has been withheld already and how much salary you had; you can tell it how much was withheld and the salary and then it will tell you what to claim now.

See below; if you want to make it even simpler you can pretend you switched jobs and separate the past data from the future, though it’s not necessary - the calculator really will handle this. It’s basically what it’s made for.