Tips to avoid tax surprises next year

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If you found yourself surprised after filing your taxes this year, you’re not alone. 

Whether your taxes gave you good news or bad news, looking at your withholdings now and potentially adjusting them can lead to a more predictable outcome next year come tax filing season. 

Big picture view:

Getting a refund means you’ve overpaid, and could’ve had more money in your pocket every paycheck. Owing money means you’ve underpaid, and may have the opportunity to spread out what you owe more evenly over the year versus paying in one large lump sum. 

Life changes 

Dig deeper:

Several big life changes that can prompt a change in your tax filing status, bracket or available deductions include: 

• Marriage or divorce
• Job change or change in income
• Moving to a new state 
• Child birth or adoption
• Home purchase

RELATED: Best states for taxes in 2025

Calculate tax withholdings

One tip to help you see into your tax-filing future is to use the IRS’s withholding estimator. 

This tool can help calculate the correct amount of federal income tax your employer should withhold from your paycheck. 

How it works:

You’ll need the most recent paystubs for all your jobs. After plugging in some information from your paycheck and answering a few questions about your tax filing situation, the IRS will tell you if you’re withholding more than you need to, or not enough – meaning, if you’re on track to owe money or get a refund. 

Here’s the link to the calculator. 

RELATED: Here's the average tax refund for 2025 filers so far, according to IRS

The other side:

Don’t use this tool if you have nonresident alien status, or if your tax situation is complex.

How do I change my tax withholding?

If you’ve learned you’re withholding too much or too little federal income tax, you can make a change now to avoid a big bill or refund in 2026. 

What you can do:

You change your tax withholdings with your employer, not the IRS. Speak to your employer about making a change to your W-4, which is your withholding certificate. 

You may need to change your filing status, depending on any of the major life changes listed above, or you can voluntarily request additional withholdings to compensate for estimated taxes on other taxable incomes or interests. 

Dig deeper:

If you’re self-employed, you may also pay taxes in quarterly estimates during the year to the IRS. This includes money for Social Security and Medicare that would otherwise be withheld by an employer. 

The Form 1040-ES can help estimate quarterly payments. 

What's next:

Consult a tax professional now if you have any questions or concerns about your tax-filing situation come January 2026.