W-4 Form

AAA

DEFINITION of 'W-4 Form'

A form completed by an employee to indicate his or her tax situation (exemptions, status, etc.) to the employer. The W-4 form tells the employer the correct amount of tax to withhold from an employee's paycheck.

INVESTOPEDIA EXPLAINS 'W-4 Form'

Remember that you can file a new W-4 anytime your situation changes. A change in status can result in more or less tax being withheld.

RELATED TERMS
  1. Withholding Allowance

    An allowance an individual claims on a W-4 Form. A withholding ...
  2. W-2 Form

    The form that an employer must send to an employee and the IRS ...
  3. Withholding Tax

    1. Income tax withheld from employees' wages and paid directly ...
  4. Garnishment

    A legal process whereby payments towards a debt owed by an individual ...
  5. Excess Employer Withholding

    When one or more employers withhold more than the aggregate maximum ...
  6. Performance Appraisal

    An annual review of an employee’s overall contributions ...
Related Articles
  1. How To Owe Nothing On Your Federal Tax ...
    Options & Futures

    How To Owe Nothing On Your Federal Tax ...

  2. Understanding The U.S. Tax Withholding ...
    Taxes

    Understanding The U.S. Tax Withholding ...

  3. If an employee is paid by commission, ...
    Investing

    If an employee is paid by commission, ...

  4. Changes In Tax Legislation And Regulation
    Taxes

    Changes In Tax Legislation And Regulation

comments powered by Disqus
Hot Definitions
  1. Passive ETF

    One of two types of exchange-traded funds (ETFs) available for investors. Passive ETFs are index funds that track a specific ...
  2. Walras' Law

    An economics law that suggests that the existence of excess supply in one market must be matched by excess demand in another ...
  3. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  4. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious ...
Trading Center