With my latest job, I typically owe a tax bill at the end of the year, even with donations and zero dependents on my w2. I’m not particularly concerned about it; the “penalties” at year end are pretty small percentage wise. It’s worth more to let the money grow in the market and pay the penalty on it at tax time than to have a zero tax bill for the year.
That said, I have been trying to ramp up withholding to offset things. I don’t plan to drive it to zero, but I would like the totals to be at least a little closer than they have been.
With my latest job, I typically owe a tax bill at the end of the year, even with donations and zero dependents on my w2. I’m not particularly concerned about it; the “penalties” at year end are pretty small percentage wise. It’s worth more to let the money grow in the market and pay the penalty on it at tax time than to have a zero tax bill for the year.
That said, I have been trying to ramp up withholding to offset things. I don’t plan to drive it to zero, but I would like the totals to be at least a little closer than they have been.