New 2020 Federal W-4 Form
The IRS has finalized the complete redesign of the Federal Form W-4 Employee's Withholding Allowance Certificate. Beginning January 1st, 2020, the new form will be in use. Our payroll program will be converting the filing status (box 3) and any additional withholding (box 6) from the employee's existing Federal W-4 to the new format and withholding tables. Please note that on the updated form, allowances have been eliminated to be consistent with the elimination of personal and dependency exemptions. Employees are encouraged to review their withholding elections and their first paycheck in the new year and to consult with their personal tax adviser to discuss whether any changes should be made. We will not be able to give tax advice to individuals who are not a current client.

The new Federal W-4 is required for new employees first paid after December 31st, 2019 and for existing employees making changes to their Federal withholding. It is the employee's responsibility to check that their withholding is correct.Employees can make changes at any time using the new Federal W-4.   For maximum accuracy completing the form, the IRS suggests using the Tax Withholding Estimator available HERE.

Click HERE for a copy of the 2020 W-4.

Click HERE for a detailed FAQs page on the 2020 Form W-4 from the IRS.

Click HERE for a sample letter to use to help explain the 2020 Form W-4 to your employees.

As an employer, we highly recommend that you notify your employees of this change, but you should avoid giving them tax advice. Please feel free to use the links above to give information to your employees.

Contact us at Jellison CPA if you have any questions about the new form.