Valued GBE Clients,
The W-4 is changing in 2020. This email message is sent with the hope of educating and informing you ahead of these changes. Change is good, be not afraid!
Remind me what a W-4 is again?
The federal government requires employees to complete a W-4 for employers. It tells employers how much money to withhold from your paycheck for federal income taxes (several states also utilize the same form).
Why change the W-4?
As stated in the IRS FAQs on the 2020 W-4, the new design is meant to be less complex and increase the accuracy of your withholdings. In other words, to get as close to $0 refund and $0 tax due as possible. Download the 2020 W-4 Draft.
I have not changed my W-4 in years, will I be required to submit this new one?
Not necessarily. Employers may have enough information from your previous W-4 to comply with the updated withholdings table.
How do I complete the new W-4?
Complete Step 1 for name and filing status. Answer Steps 2-4 to the best of your ability. If you don’t know the answer(s) you may simply SKIP any of Steps 2-4. If you are a church worker, complete line 4(c) in the same way as line 6 on previous W-4.
Consult your GBE advisor as needed.
I want a refund, how should I fill out the new W-4?
Complete Step 1. Skip Steps 2-3. Write additional withholding amount (per pay period) in line 4(c).
My kid has a summer job, now what?
Child dependents making $12,000 or less should Complete Step 1 and write EXEMPT in the blank space below line 4(c).
I HATE TAXES!!!
Lucky for you our team at GBE loves taxes. Any questions you may still have please let us know!