How to Fill Out Form W-4 (2026)

You should review and update your W-4 whenever:

• You start a new job
• You get married or divorced
• You have a child or adopt
• You buy a house
• Your spouse starts or stops working
• You have significant non-wage income (interest, dividends, self-employment)
• You had a large refund or tax bill last year

Step 1: Personal Information

Enter your name, address, SSN, and filing status. Crucial: Your filing status (Single, MFJ, Head of Household) significantly impacts your standard deduction and tax rates.

Step 2: Multiple Jobs or Spouse Works

Complete this ONLY if you hold more than one job at a time or are married filing jointly and your spouse also works.

• Option A (Most Accurate): Use the IRS Tax Withholding Estimator.
• Option B (Approximate): Use the Multiple Jobs Worksheet on page 3.
• Option C (Simplest): Check the box in Step 2(c) on BOTH forms if jobs have similar pay.

Step 3: Claim Dependent Credits

If your income is under $200k ($400k if MFJ):

• Multiply number of children under 17 by $2,000
• Multiply other dependents by $500
• Enter the total on Line 3. This reduces your withholding dollar-for-dollar.

Step 4: Other Adjustments (Optional)

• 4(a) Other Income: Enter non-wage income (interest, dividends, retirement) here to have tax withheld from your paycheck instead of making estimated payments.
• 4(b) Deductions: If you itemize or have other deductions exceeding the standard deduction, enter the amount here to reduce withholding.
• 4(c) Extra Withholding: Enter an additional amount to withhold per pay period. Useful if you want a larger refund or need to cover taxes for other income.

Step 5: Sign and Date

The form is not valid without your signature.

Goal: Break Even ($0 Refund / $0 Owed)

This puts the most money in your pocket each paycheck. Use our Paycheck Calculator to tune your W-4.

Goal: Big Refund

Reduce the number on Line 3 (Claim Dependents) or add an amount to Line 4(c) (Extra Withholding). This forces your employer to send more money to the IRS.

Goal: Pay Less Now (Caution)

Increase deductions on Line 4(b). Be careful not to underpay, or you may face penalties (usually if you owe >$1,000).

You can claim exemption from withholding ONLY if:

1. You had no federal tax liability last year (got all withheld tax back), AND
2. You expect no federal tax liability this year.

To claim this, write "Exempt" in the space below Step 4(c). You must file a new W-4 by Feb 15 each year to maintain exempt status.