If your income is at a certain level, you may be eligible for the Earned Income Credit. You definitely do not want to put yourselves in the position of owing taxes at the end of the year, so be careful in changing the exemptions on your W-4.
Cut out any discretionary extras that you have now (internet; cable; cell phone; clothing) and live simply while he is unemployed. First, EVERYONE needs their money for some thing or another.....gee I need it, I need yours too...to support my elderly grandma...sound like a good reason that you should pay and I shouldn't? Second, what are you saying? Your refund is coming to you...by definition...it is being "refunded". Use it for whatever you want. If your not getting a refund because you haven't paid some other government debt or such, which you should have paid instead of having too much tax withheld....it's good for you and your kids to understand your debts need to be paid, and creditors respected (it is how they pay for their employees and children and such). The EITC mentioned may well be part of your refund and if not, there is a process call "advanced earned income tax credit" you should look at.
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