Understanding the W-4 Form

Open up this example W-4 and keep open in a separate tab to refer to for the questions that follow.

https://docs.google.com/document/d/1jWKP5DEGCf6jaxiqO-m8gxmiiXXFzsFdfLhIPjHSukE/edit?tab=t.0

• Done

• .

What is Maxwell’s filing status?

• Single

• Married filing jointly

• Head of household

• Dependent

Which statement can you assume is TRUE?

• Maxwell and his spouse plan to itemize their deductions this year

• Maxwell and his spouse both work, or Maxwell himself has two jobs

• Maxwell and his spouse work at Big City Office Furniture

• Maxwell and his spouse are the owners of Big City Office Furniture

In order to fill out this W-4 form, Maxwell needed to know all of this information EXCEPT…

• His Social Security number

• His address

• The amount of taxes he’s paid in the last five years

• The number of dependents he plans to claim on his tax return

Maxwell and his spouse file their taxes jointly and entered $4,000 on line 3. What does that tell you?

• Maxwell and his spouse make less than $400,000 and have zero children

• Maxwell and his spouse make less than $400,000 and have two children

• Maxwell and his spouse make more than $400,000 and have zero children

• Maxwell and his spouse make more than $400,000 and have two children

How many other dependents does Maxwell have?

• 0

• 1

• 2

• 3

If Maxwell had other income from interest or dividends which step might he want to complete on the W-4 form?

• Step 1

• Step 2(b)

• Step 3

• Step 4(a)

In June, Maxwell’s father comes to live in their home and can count as Maxwell’s dependent. What does Maxwell need to do on the new W-4 form he submits to reflect this change?

• Maxwell does not need to change anything on the new W-4 form

• Claim $500 more in Box 3

• Claim $2000 more in Box 3

• Verbally tell the HR department at Big City Office Furniture

How much EXTRA money is Maxwell withholding from each paycheck?

• $0

• $10

• $50

• Cannot tell from this form

Which statement below is TRUE?

• Maxwell started working at this job during the 2024 tax year

• Maxwell signed the W-4 form a few days before he started

• Maxwell lives and works in the same city

• Maxwell completed this W-4 for his job at Big City Office Furniture