W-4 Form


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.


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.

  1. Withholding Allowance

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

    When one or more employers withhold more than the aggregate maximum ...
  3. W-2 Form

    The form that an employer must send to an employee and the IRS ...
  4. Garnishment

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

    1. Income tax withheld from employees' wages and paid directly ...
  6. Employee Stock Option - ESO

    A stock option granted to specified employees of a company. ESOs ...
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  1. If an employee is paid by commission, who is responsible for withholding taxes?

    It depends. An individual who receives commissions can be treated in the same manner as an individual who receives straight ... Read Full Answer >>
  2. Do financial advisors prepare tax returns for clients?

    Financial advisors engage in a wide variety of financial areas, including tax return preparation and tax planning for their ... Read Full Answer >>
  3. What is the difference between comprehensive income and gross income?

    Comprehensive income and gross income are similar, but comprehensive income is a specific term used on a company's financial ... Read Full Answer >>
  4. What protections are in place for a whistleblower?

    Whistleblowers can play a critical role in ensuring the compliance, safety, honesty and legal fairness of governments and ... Read Full Answer >>
  5. What tax breaks are afforded to a qualifying widow?

    The tax breaks accorded to qualifying widows or widowers include being able to use a tax filing status that allows for a ... Read Full Answer >>
  6. How is income taxed on prorated salary?

    Since yearly income is viewed by the Internal Revenue Service (IRS) as the total amount of income a person has made over ... Read Full Answer >>

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