How to complete Form W-4: Federal Tax Withholding in Wrapbook

The following help article provides general instructions on how to complete this form in Wrapbook.  If you have questions about how to complete tax information based on your specific situation, consult with a CPA or other tax professional.

Overview of Form W-4

Form W-4 (Employee's Withholding Certificate) is an IRS tax form that tells employers how much federal income tax to withhold from your paycheck. The information you provide on this form directly affects your take-home pay.

Who needs to complete Form W-4

Workers classified as employees are required to submit their W-4 before their timecards can be submitted and paid. Form W-4 only needs to be filled out once per production company and is carried over to other projects the company hires you for.

You must complete Form W-4:

• When you’re hired by a production company as an employee

• If you experience life changes that affect your tax situation (marriage, divorce, new dependents)

• If you want to adjust your withholding amount

Why Form W-4 is important

Your W-4 ensures:

• The correct amount of federal income tax is withheld from your pay

• You don't end up owing a large amount at tax time

• You don't have too much withheld, which would result in waiting for a refund

About Exempt status

Exempt status is typically claimed by workers who didn’t have any taxes withheld the previous year, and aren’t expecting to owe any for the current year.

Marking yourself as exempt from withholding on your Form W-4 means that you're requesting your employer to not withhold any federal income tax from your paycheck.

Before claiming exempt status, you should consult a tax professional as Wrapbook cannot provide specific tax advice. Making this choice incorrectly could result in owing a large amount at tax time, along with interest and penalty charges.

If you mark yourself as exempt from withholding, you'll need to re-sign your W-4 form each year by mid-February. If you don't re-sign by the deadline, your withholding status will automatically change to single with maximum withholding.

How to complete Form W-4 in Wrapbook

You’ll be prompted to fill out and sign a Form W-4 when you onboard to a project in Wrapbook. If you need help determining your withholding amount, consult a tax professional. Wrapbook cannot provide specific tax advice.

For official guidance on completing Form W-4:

• Visit the official IRS website: About Form W-4

• Use the IRS Tax Withholding Estimator: Tax Withholding Estimator

• Review IRS Publication 505: Tax Withholding and Estimated Tax

In the Form W-4, you’ll need to enter the following information:

Step 1: Personal Information

Click the fields to enter your name, address, Social Security number, and filing status (Single, Married Filing Jointly, or Head of Household).

Step 2: Multiple Jobs or Spouse Works

Click the fields to complete this section if you have more than one job or if you're married filing jointly and your spouse also works. This helps ensure enough tax is withheld. If you don’t have more than one job and/or you’re not married, filing jointly, you can skip this step.

Step 3: Claim Dependents

If you have dependents, click to enter the dollar amount of the child tax credit and credit for other dependents you expect to claim on your tax return. If you don’t have dependents, you can skip this step.

Step 4: Other Adjustments

Consider these optional adjustments:

• 4(a): Other income (non-job income like interest or dividends)

• 4(b): Deductions other than the standard deduction

• 4(c): Extra withholding you want taken from each paycheck

Important: Adding other income on Step 4 can affect your tax withholdings in several ways:

• Federal Taxes: May increase based on total expected yearly income

• State Taxes: May be affected depending on how your state calculates taxable income and whether it relies on federal income estimates

• Medicare Taxes: Will apply to all additional income (no maximum limit)

How to view your federal tax withholding information

Once signed, you can view your completed Form W-4 on your Tax documents dashboard.

Here’s how:

1. Login to Wrapbook

2. In the left-side navigation, click Tax documents

3. On your Tax documents dashboard, click the Tax withholding tab, and then click the View button next to Federal Tax Withholdings

4. Click on the image of your Form W-4 to expand it. From here, you can review the information that you previously entered.

How to adjust the amount of your federal tax withholding

You can adjust your federal tax withholding for wages paid by Wrapbook by updating your Form W-4.

Here’s how:

1. Login to Wrapbook

2. In the left-side navigation, click Tax documents

3. On your Tax documents dashboard, click the Tax withholding tab, and then click the Edit button next to Federal Tax Withholdings

4. On the W-4 federal withholding page, you can click on any of the fields within the four steps to update the information entered

5. Once you’re finished updating your Form W-4, click the Save button

6. On the Review and sign W-4 federal withholdings page, enter your full name and then click the Sign button

Once you sign your Form W-4 tax withholding, the changes will be applied to your pay for the next payroll cycle.