What Is the W4 Form?
The W4 form is an exemption certificate to notify your employer of state income tax withholding. This form also indicates how many exemptions you would like to claim from your pay. You are required to file a new form every year, and you will also need to file a new form whenever any life events occur (e.g., getting married, divorced, having a child, etc.).
To fill out a W-4 form:
- Start by obtaining a copy of the W-4 form. You can find the form online at the Internal Revenue Service (IRS) website or request a copy from your employer.
- Enter your personal information at the top of the form. This includes your name, address, and Social Security number.
- Determine your filing status. There are five options to choose from: single, married filing jointly, married filing separately, head of household, or qualifying widow(er) with a dependent child. Choose the option that applies to your situation.
- Calculate your allowances. The W-4 form allows you to claim allowances, which can reduce the amount of tax withheld from your pay. You can claim allowances for yourself, your spouse, and any dependents.
- Use the IRS’s withholding calculator to help you determine the number of allowances to claim. You can find the calculator on the IRS website.
- If you have multiple jobs or a spouse with a job (more on this below), you will need to consider the total income and tax withheld from all of your jobs when determining your allowances. If you have a large disparity in income between you and your spouse, you may want to consider filing separately to reduce your combined tax liability.
- Enter the number of allowances you claim on line 5 of the W-4 form.
- Complete the rest of the form as directed. This may include providing additional information about any additional tax you want to be withheld from your pay or any tax credits you are eligible for.
- Review the form to ensure all information is accurate and complete.
- Sign and date the form, and submit it to your employer.
It’s important to note that you may need to update your W-4 form if your personal or financial situation changes. For example, if you get married, have a child, or change jobs, you may need to adjust the number of allowances you are claiming or make other changes to the form. It’s a good idea to review and update your W-4 form periodically to ensure that you have the appropriate amount of tax withheld from your pay.
Implications for Multiple Jobs or Large Salary Differences Between Spouses
If you have multiple jobs or your spouse works, you’ll need to fill out a W-4 for each job. You’ll also need to consider your combined income when filling out each form.
For example, if you make $50,000 at your first job and $75,000 at your second job, your combined income is $125,000. This means you’ll need to withhold more money from each paycheck to make up for the fact that you’re in a higher tax bracket.
If there’s a large disparity between your incomes (say, your spouse makes $200,000 while you make $50,000), you may consider filing separate W-4 forms. This way, you can each withhold the appropriate amount based on your income.
What to Do When Switching Jobs
If you’re switching jobs in Virginia, you’ll need to fill out a new W4 form for your new employer. When filling out the form, you should also consider your combined income from both jobs.
Here’s what you need to do:
- Download the W4 form.
- Fill out your personal information, including your name, address, SSN and filing status.
- Enter your combined income from both jobs on the form.
- Account for child tax credits on the highest paying job.
- Submit the form to your new employer.
When to File an Amended W4 Form
You should file an amended Form W4 with your employer:
-Your filing status changes (e.g. you get married or divorced)
-The number of allowances you are claiming changes
-Your income level changes
If any of these things occur during the year, it is best to file a new Form W4 with your employer as soon as possible so that the right amount of tax is withheld from your paycheck. You don’t want to end up owing taxes at the end of the year, or getting a large refund, because that means you over or under-paid throughout the year.
