Probably a question for my accountant, but I thought I'd post it here first. Suppose you have an employee who is claiming 3 children on his w-4, but you think he is telling a lie, and has less dependants, or none at all. Question, does this cost me more in any way shape or form? I realize that the employee is trying to save $ on his witholdings, but I am not required to prove how many children he has. Just wondering if this "lie" hurts me in any way financially. Thanks!