This is such a comprehensive discussion of a problem that trips up so many dual-income couples! I wanted to add one more perspective based on my experience as someone who went through this exact situation. After dealing with surprise tax bills for four years running (we owed between $2,800-4,200 each year), I finally made the switch to "single" on my W4 last January. Like many others here, my spouse and I both earn in the $70-80k range, and we were both selecting "married filing jointly" on our W4s. The change resulted in about $160 more being withheld from each of my paychecks. At first it felt like a significant reduction in take-home pay, but the psychological relief of not dreading tax season has been incredible. We're actually on track for a small refund this year for the first time in ages. One thing I'd add to the excellent advice already given: if you're making this change mid-year, definitely use the IRS Withholding Estimator to calculate if you need additional withholding on Line 4(c). When I made the switch in January, just changing to "single" was sufficient, but if you're several months into the tax year, you'll likely need to catch up for the earlier months of underwithholding. Also, for anyone still nervous about selecting "single" while married - I had the same concern initially. But after a full year of doing this, I can confirm it has zero impact on your actual tax return filing. It's purely a withholding strategy, and you'll still file "married filing jointly" on your 1040 just like always.

I've been lurking on this thread because I'm dealing with the exact same issue! My husband and I both make around $72k each and have been getting slammed with $3,500+ tax bills every year despite both selecting "married filing jointly" on our W4s. Reading through everyone's experiences has been incredibly enlightening. I never understood why we kept underwithholding until I saw the explanations about how each employer's payroll system assumes they're handling the household's only significant income. That makes perfect sense now! I just ran our numbers through the IRS Withholding Estimator that several people mentioned, and it's showing that switching to "single" on my W4 would increase my withholding by about $148 per paycheck. Since we're already several months into the year, it also calculated that I should add around $75 per paycheck on Line 4(c) to catch up for the earlier underwithholding. It's really reassuring to hear from so many people who have actually made this change successfully. The peace of mind aspect that @Mohamed Anderson mentioned really resonates with me - I'm so tired of dreading tax season every year! Even though it means smaller paychecks, I'd much rather have predictable taxes than scramble to find thousands of dollars every April. I'm submitting my updated W4 to HR tomorrow. Thanks to everyone who shared their real experiences and actual numbers - this thread has been incredibly helpful!

This is super helpful to know! I've been refreshing that SC tracker like crazy waiting for it to update to step 5. Now I'll just keep an eye on my bank account instead of stressing about the website. Did you get any email notification when it deposited or did you just happen to check your account?

This is so helpful! I've been checking the SC tracker obsessively every day and getting frustrated that it's been stuck on step 4 for over a week. Never occurred to me to check my bank account first - just looked and sure enough, my refund hit yesterday! You just saved me from days more of unnecessary stress refreshing that slow website. Thanks for posting this PSA! 🙏

I'm dealing with almost the exact same situation! Got a 1099-NEC from what I thought was a scholarship program, and my tax software is telling me I owe money I definitely don't have. Reading through these responses is actually really helpful - I had no idea that you could potentially reclassify portions of this income based on how it was actually used. Quick question for those who have been through this - if I used some of the money for tuition and required textbooks, but also used some for groceries and rent, do I need to calculate the exact percentages? And is it okay to estimate if I don't have every single receipt saved? I'm honestly panicking about getting this wrong and making my situation worse. Also, does anyone know if there's a deadline for contacting the program that issued the 1099-NEC? I want to reach out to them for clarification like some of you suggested, but I'm worried it might be too late since tax season is already underway.

I'm so sorry you're dealing with this - it's incredibly frustrating when programs aren't transparent about tax implications upfront! From working with students in similar situations, here's what I'd recommend: First, don't panic. The 1099-NEC doesn't automatically mean you owe the full tax amount on that $1,620. You have options to properly classify how those funds were actually used. Start by gathering documentation of your qualified educational expenses from when you received and used those funds. This includes tuition payments, required textbooks, lab fees, and other mandatory course materials. Even if you don't have every receipt, your student account statements and course syllabi showing required materials can help establish what you needed to purchase. Next, I'd suggest reaching out to the FutureScholars program directly. Ask them to provide written clarification about the educational purpose of the funds and why they chose to issue a 1099-NEC instead of treating it as scholarship income. Sometimes these organizations aren't fully aware of the tax implications of their classification choices. When you file, you can report the portion that went to qualified educational expenses as non-taxable scholarship income, with the remainder as taxable. Include a clear explanation with your return documenting how the funds were used and why the educational portion shouldn't be taxable. This situation is more common than you think, and there are definitely ways to reduce that unexpected tax burden. Don't give up!

I've been using H&R Block for the past 3 years and can confirm they consistently take their fees from federal refunds. In my experience, they're pretty upfront about this during the filing process - whether you're doing it online or in-person, they'll show you exactly how the fee deduction works before you finalize everything. One tip I'd add: if you're worried about timing or which refund they'll hit, you can always opt to pay their fee upfront with a credit card or bank transfer instead of using their Refund Transfer service. That way you get your full federal AND state refunds without any deductions. The choice is usually presented clearly during checkout, so you can decide what works better for your budget planning. The Refund Transfer option is convenient if you don't want to pay out of pocket, but paying upfront gives you more predictable refund amounts if that's important for your financial planning.

I can share some additional insight from working in tax preparation. H&R Block's fee deduction follows a pretty consistent pattern, but there are a few nuances worth mentioning: **Standard Process:** - Fees come from federal refunds in about 95% of cases - This is built into their Refund Transfer system by design - Federal refunds are larger and process more predictably **When they might take from state instead:** - Federal refund is under IRS review/hold (common with EITC, CTC, or ACTC claims) - Federal refund amount is less than their service fee - State refund processes significantly faster than federal in rare cases **Pro tip:** When you're at the final step of filing (online or in-person), ask them to confirm in writing or show you on screen exactly which refund will have the fee deducted. Most offices and the online system will provide this information clearly, but you have to look for it or ask. If you need absolute certainty for budgeting purposes, paying the fee upfront eliminates all guesswork - you'll receive your full federal and state refunds without any deductions.

I'm also in California and had to file a prior year return last month. I sent mine to the Ogden, Utah address that others mentioned, and got my refund about 6 weeks later, so can confirm that's correct. One thing to note - prior year paper returns take FOREVER to process compared to current year e-filed returns. The IRS is still catching up on their backlog, so be prepared to wait 3-4 months minimum. If you're expecting a refund, don't count on seeing that money anytime soon!

@Keisha Johnson - I completely understand your frustration with the multiple addresses! This is such a common confusion point. Just to add some clarity to what others have shared: The correct address for your California prior year 1040 without payment is indeed: Department of the Treasury Internal Revenue Service Ogden, UT 84201-0008 The confusion with the three different addresses you found is totally understandable - the Fresno center closed in 2021, Portland handles different types of returns, and some outdated websites still show old information. A few additional tips from my own experience filing prior year returns: - Write "PRIOR YEAR RETURN - [TAX YEAR]" clearly at the top of your Form 1040 - Use certified mail with return receipt requested - Keep complete copies of everything you send - Be patient - processing can take 12-20 weeks for prior year paper returns Sorry to hear about your dad's surgery situation - that's exactly the kind of life event that makes tax deadlines so stressful. You're doing the right thing by filing now, even if it's late. The IRS is generally understanding about late filing when there's no balance due. Hope this helps put your mind at ease about the mailing address!