For Subscribers

How Low?

With new tax brackets, now's the time to lower your withholding.

By Scott Bernard Nelson

Opinions expressed by Entrepreneur contributors are their own.

Barrels of media ink have been spilled over the 25 millionchecks Uncle Sam mailed out as advance refunds on the 2003 childtax credit. Plenty of attention has been given to other aspects ofthe so-called Jobs and Growth Tax Relief Reconciliation Act of2003, too, including dividend and capital gains cuts and increaseddeductions for business owners. But little notice has been paid tothe one thing that almost all taxpayers can do immediately to takeadvantage of the legislation- the withholding from theirpaychecks to reflect new, lower marginal tax brackets.

The tax bracket changes are relatively small, so the extra moneyin each paycheck won't be enough to overcome fiscal inertia inmany households or to get the nation's financial advisersclamoring about the oversight. Still, if you don't make thechange, you're paying the government too much money and willhave to wait for your tax refund to get it back.

Continue reading this article — and all of our other premium content with Entrepreneur+

For just $5, you can get unlimited access to all Entrepreneur’s premium content. You’ll find:

  • Digestible insight on how to be a better entrepreneur and leader
  • Lessons for starting and growing a business from our expert network of CEOs and founders
  • Meaningful content to help you make sharper decisions
  • Business and life hacks to help you stay ahead of the curve

Editor's Pick

Everyone Wants to Get Close to Their Favorite Artist. Here's the Technology Making It a Reality — But Better.
The Highest-Paid, Highest-Profile People in Every Field Know This Communication Strategy
After Early Rejection From Publishers, This Author Self-Published Her Book and Sold More Than 500,000 Copies. Here's How She Did It.
Having Trouble Speaking Up in Meetings? Try This Strategy.
He Names Brands for Amazon, Meta and Forever 21, and Says This Is the Big Blank Space in the Naming Game
Business News

American Airlines Sued After Teen Dies of Heart Attack Onboard Flight to Miami

Kevin Greenridge was traveling from Honduras to Miami on June 4, 2022, on AA Flight 614 when he went into cardiac arrest and became unconscious mid-flight.


How to Detect a Liar in Seconds Using Nonverbal Communication

There are many ways to understand if someone is not honest with you. The following signs do not even require words and are all nonverbal queues.


6 Tips for Building a Business Growth Mindset in Adolescents

Here are a few tips for nurturing entrepreneurial and growth mindsets in adolescents.

Business News

Would You Buy Maggie Murdaugh's Monogrammed Snake Print Pillows? Items From the Murdaugh Family Home Are Going Up for Auction

The sale comes just weeks after Alex Murdaugh was sentenced to two consecutive life terms for the June 2021 murders of his wife, Maggie Murdaugh, and son Paul Murdaugh.


5 Winning Habits That Will Transform Your Leadership Skills

Ready to take your leadership skills to the next level? Discover the five winning habits that will transform you into an exceptional leader!