Tax Tips Common Tax Mistakes, Not updating your Form W-4 Read the Article Open Share Drawer Share this: Click to share on Facebook (Opens in new window) Facebook Click to share on X (Opens in new window) X Click to share on LinkedIn (Opens in new window) LinkedIn Click to share on Pinterest (Opens in new window) Pinterest Click to print (Opens in new window) Print Written by TurboTaxBlogTeam Published Dec 18, 2006 - [Updated Mar 28, 2025] 1 min read The purpose of the form W-4 as stated on the IRS instructions is so your employer can withhold the correct federal income tax from your pay. What many people forget is that you should review and possibly update this when you get a promotion or have a life changing event such as a birth, death, marriage or divorce. All of these things can affect how much money you should be withholding from your paycheck to avoid a nasty surprise at the end of the year. Also be sure to review your state withholdings. Your state may take out taxes as a percentage of the federal withholding. If it is a percentage, you may want to increase it or decrease it to balance changes you made to the federal. You can download the W-4 here: http://www.irs.gov/pub/irs-pdf/fw4.pdf Your HR department website may also have a link for you. I would check there first for the state form. There are many paycheck calculators out there to help you with this, including these: http://www.irs.gov/individuals/article/0,,id=96196,00.html http://www.paycheckcity.com/w4/w4instruction.asp We have one on our site with some other calculators as well on our Tax Tips site: https://turbotax.intuit.com/tax_help/index.jhtml Previous Post Avoiding Identity Theft from Phishing Scams Next Post What Is a 401(k) & How Does It Help You… Written by TurboTaxBlogTeam More from TurboTaxBlogTeam Leave a ReplyCancel reply Browse Related Articles Tax Reform Navigating Tax Reform: One Big Beautiful Bill Tax Changes Tax Reform See How Tax Changes Impact You with the Tax Reform Calculator Life 5 Ways to Strengthen Your Financial Foundation Life The End of Pennies: Understanding the Financial Shifts Ahead Investments Values-Based Investing: How to Get Started with ESG Tax News Georgia State Surplus Tax Refund: Everything You Need to Know About the Rebate Life To Rent or to Own: The Ultimate House Debate Life Smart Shopping This Summer: Saving on Goods and Cars Latest News Arkansas Champions NIL State Tax Exemptions: What This Means for Student-Athletes and Schools Tax Tips TurboTax Up to 5-Day Early Refund Option: What You Need to Know