If you recently filed your taxes and were surprised by the amount of Federal taxes withheld from your checks in 2020, you may want to review the IRS Tax Withholding Estimator and make updates to your W4 form for 2021.
- The IRS Tax Withholding Estimator can be found at: https://www.irs.gov/individuals/tax-withholding-estimator
- To complete this estimator, you will need your most recent earnings statement and you may want to reference your 2020 Tax Return document. If you are married and filing jointly, you will also want your spouse’s most recent earnings statement.
- You can find your earnings statement in MyUW in the Payroll Information box, Earnings Statement section.
- The UW System has a resource for reading your earnings statement here: https://uwservice.wisconsin.edu/help/earnings-statement/#special
After you complete the estimator, it will give an estimate of whether you are likely to owe taxes at the end of the year. You may adjust your results to set the approximate refund amount you would like to get, and the estimator will recommend an amount to adjust your withholdings.
To update your W4 in MyUW, follow the instructions here: https://uwservice.wisconsin.edu/docs/publications/pay-update-federal-state-w4.pdf
You can review the IRS W4 form and instructions here, however the UW does require employees to update the information in MyUW rather than completing a paper form: https://www.irs.gov/pub/irs-pdf/fw4.pdf
The IRS updated the W4 form in 2020, and many employees in the US must enter Additional Withholdings on their W4 forms if they would like to avoid having to pay additional Federal Income taxes at the end of the year. Keep in mind that your tax situation may change for 2021 as well, so you may wish to review the IRS Tax Withholding Estimator and update your W4 every year.
The Housing and UW Madison Human Resources & Payroll Offices cannot provide tax advice or help you determine what to update on your W4 form. We recommend that you use the IRS Tax Estimator or consult with a tax advisor. If you have questions about accessing your earnings statements or updating your tax form on MyUW, you can contact the Housing Payroll Office at email@example.com or 608-262-2308.