When the IRS overhauled Form W-4 in 2020, it replaced marital status and exemption counts with calculations for second jobs, working spouses and self-employment income. The IRS made the change because it saw a large rise in amounts individual taxpayers owed at year end.

The new design caught many workers and payroll managers off guard, turning simple instructions into a set of projections needed to work out federal and state income tax withholding. This 90-minute Form W-4 training shows you how to help employees complete the form correctly, step by step, using the worksheets, the withholding chart and the related forms.

WHY SHOULD YOU ATTEND?

Under-withholding can cause problems for both employees and employers, and payroll staff are often the first people employees ask for help. This session explains how each W-4 section should be completed for different personal situations and when extra withholding is or isn't appropriate.

You'll also learn which payroll system changes the form required, which current workers should file a new W-4, and which states accept the federal form. It suits payroll, HR, compensation, hiring, finance and executive staff.

AREA COVERED

The redesigned W-4, step by step

• Step 1: personal information, including alternate relationships
• Step 2: whether it applies, and when to use the estimator, the multiple jobs worksheet or checkbox c
• Step 3: claiming dependents and calculating deductions
• Step 4: other income and deductions, and voluntary additional withholding

Worksheets and calculations

• The multiple jobs worksheet, with an example
• The deductions worksheet, with an example
• The withholding calculation chart, with an example

Related forms and situations

• W-4P for pension and annuity payments
• W-4V voluntary withholding request
• Form 1040-ES
• IRS Notice 1392 for nonresident aliens
• States with their own W-4 version
• Whether employees need to complete a new W-4

LEARNING OBJECTIVES

• Explain how employees should complete each W-4 section for their circumstances
• Decide when additional withholding should and shouldn't apply
• Use the multiple jobs and deductions worksheets and the withholding chart
• Identify the payroll system changes the redesigned W-4 required
• Determine which existing workers should complete a new W-4
• Describe the risks of under-withholding federal and state income tax
• Know which states accept the federal W-4 and which use their own

WHO WILL BENEFIT?

• Payroll and HR Managers
• Compensation and Hiring Staff
• Finance and Operational Managers
• Executive Staff