Do employees need a new Form W-4 every year?

No. The form on file stays in effect until the employee replaces it. A claim of exemption from withholding is the exception. It covers only the calendar year it is furnished and must be renewed by February 15 of the next year. When that date falls on a weekend or legal holiday, the deadline moves to the next business day.

Is Form W-4 the same as Form W-2?

No. An employee fills out Form W-4 at hire to set withholding, and the form stays in your records. You generally issue Form W-2 after year-end to report what was actually paid and withheld. Copy A goes to the Social Security Administration with Form W-3, and the employee gets Copies B, C, and 2.

Can I help an employee fill out Form W-4?

It depends on the help. You can explain each step and point the employee to the IRS Tax Withholding Estimator on irs.gov. The entries and the signature stay the employee’s. Any alteration of the form or unauthorized addition to it makes the form invalid, so you ask for a valid one.

TAXES

Form W-4

Form W-4 is the IRS form an employee completes to tell their employer how much federal income tax to withhold from each paycheck.

Updated Sep 20264 min read3 primary sources

FORM: IRS Form W-4, Employee’s Withholding Certificate
WHO FILES: Every new hire, and anyone changing withholding
NO FORM?: New hires: Single or Married filing separately
WATCH FOR: Altering a form, which makes it invalid

The form works from filing status, dependents, multiple jobs, and other income or deductions. You run those entries through the withholding methods in IRS Publication 15-T. The form replaced the old allowances system in 2020. A pre-2020 Form W-4 stays valid until the employee submits a new one, and you keep computing withholding from its allowances. You apply a complete, valid form as the employee filed it.

What’s on the form?

Only Steps 1 and 5 are required. An employee who skips the optional steps still gets valid withholding, calculated from filing status alone.

01
Personal information and filing status. Single or Married filing separately, Married filing jointly or Qualifying surviving spouse, or Head of household.
REQUIRED
02
Multiple jobs or spouse works. For a household with two jobs or a working spouse.
OPTIONAL
03
Dependents and other credits. Dependents claimed as tax credits, which lower withholding.
OPTIONAL
04
Other adjustments. Other income, deductions, or a flat extra amount withheld each pay period.
OPTIONAL
05
Signature. The form is not valid unless the employee signs it.
REQUIRED

What do you do with it?

YOU DO

Put a replacement form in effect by the first payroll period ending on or after the 30th day after you receive it
Keep it at least 4 years after the tax it supports is due or paid, whichever is later
Withhold as Single or Married filing separately when a new hire gives you no form
Follow an IRS lock-in letter over the form, unless the form on file or a new one gives more withholding
Keep applying a valid pre-2020 form

YOU DON’T

Alter the employee’s entries or add to them
Accept a form with an unauthorized change or addition
Send routine forms to the IRS
Require a new form only because of the 2020 redesign
Use a state withholding form for federal withholding

Dates that matter

First payrollA new hire’s first form applies from the first payroll period ending on or after the day you receive it.
30 daysA replacement form takes effect no later than the first payroll period ending on or after day 30.
Penalty deadline: February 15A claim of exemption expires unless the employee files a new form by then (February 16 in 2027).

Frequently asked

Yes. For a new hire, you withhold as if the employee had checked Single or Married filing separately in Step 1(c). The employee counts as making no entries in Steps 2, 3, or 4. That default applies until the employee furnishes a completed form. That form takes effect with the first payroll period ending on or after the day you receive it.

SOURCES

General information, not legal or tax advice. Apply current federal and state rules with qualified guidance.

Form W-4

What’s on the form?

What do you do with it?

Dates that matter

Frequently asked

RELATED TERMS

Your next payroll could be your first one on Worklio.

Form W-4

What’s on the form?

What do you do with it?

Dates that matter

Frequently asked

Can I run payroll before an employee submits a Form W-4?

Do employees need a new Form W-4 every year?

Is Form W-4 the same as Form W-2?

Can I help an employee fill out Form W-4?

RELATED TERMS

Your next payroll could be your first one on Worklio.