Let IRS do some work for you!

How to adjust your withholding
By Kay Bell • Bankrate.com

Most Americans pay the bulk of their annual tax bills via payroll withholding. Through this process, a percentage of your pay is taken out each pay period and sent to the Internal Revenue Service where it is credited toward your final tax bill.

Payroll withholding is something you want to get just right. Why?

• If you have too little taken out, you'll owe money when you file your return. That's not good, obviously -- no one likes to write out a big check to Uncle Sam.
• If too much is withheld, you'll get a refund, and that's not good either. What's wrong with getting a refund? That means you've given Uncle Sam free use of your tax money -- money you could have made better use of yourself throughout the year.

The best course, tax experts say, is to adjust your withholding so your tax payments will match your actual tax liability. To Uncle Sam, you will neither a borrower nor a lender be.

To make the change, file a new W-4 with your employer. This will change the amount that comes out of your paycheck.

You should do this any time there's a major change in your life -- marriage, birth of a child, purchase of a home. Each of these circumstances can affect the amount of tax you'll eventually owe. The IRS offers an interactive withholding allowance calculator and a couple of worksheets on page 2 of the W-4 form to help you figure out just what changes you need to make to your withholding amount.