Question

Increasing W-4 allowances will ________ the net pay in your paycheck and ______ your total tax burden.

Answer 1

Increasing W-4 allowances will increase the net pay in your paycheck and reduce your total tax burden. Remember that more W-4 allowances means less tax withheld with your paycheck whereas less W-4 allowances means that more tax withheld with your paycheck.

ANSWERS: increase, reduce