Tax refunds are fool’s gold, because they’re interest free loans you’ve been floating to the government all year long. The ideal move is to have just the right amount deducted from your paycheck each week so you’ll pay a small amount come tax time.
Kiplinger has a calculator that helps you calculate that amount. You can take the results to your payroll department and adjust your withholding accordingly.
What are your favorite tax strategies?
Easy-to-Use Tax Withholding Calculator [Kiplinger]