On the other hand, if you’re getting a large refund, the government has been holding your money without paying you any interest.

Either way, it’s important to review the number of exemptions you are claiming on your W-4 on an annual basis. Some reasons to file a new W-4 are listed below:

· Married

· Divorced

· Birth of a child

· Death of a dependent (spouse or child)

· Loss of dependent status
(i.e.: child graduates and no longer can be claimed as your dependent)

· You expect a change in the amount of your credits, non-wage income or itemized deductions from previous year.