Employee Withholding Certificate (W-4)
In order for DSU to withhold the correct amount of federal income tax from an employee's pay, and before the University is able to pay, an employee is required to complete a Form W-4.
The completed Form W-4 should be submitted for processing along with the other required forms for new hires within three days of the date the person begins employment.
Departments with questions concerning the Form W-4 should contact the Payroll Office.
Federal income tax is withheld from wage payments based on marital status selected and number of allowances claimed on line 5 of the W-4. Federal income taxes are calculated after reducing the gross wage by pre-tax items such as annuities and select benefits.
Employees may change their filing at any time by completing a new W-4 form. Taxes will be withheld at the appropriate rate based on the most current W-4 on file.
Filling out a W-4
W-4 forms must be completed in ink (or typed) with an original signature.
These forms require:
- Name, preferably the same as on your Social Security Card
- Social Security number
- Marital status, if no box is marked, the default is single
- Number of allowances, line 5, if left blank 0(zero) will be entered.
- Additional deduction amount (if desired), line 6
The amount indicated on this line will be in addition to the amount that would be withheld based on your marital status and the number allowances claimed on line 5.
- Exempt from Withholding, line 7
Enter "Exempt" on line 7, only if you meet the criteria listed on the W-4. More information concerning Exemption from tax withholding will follow.
Claiming "Exempt" from Tax Withholding
Some employees may be eligible to claim "exempt" on their Federal withholdings.
You should only claim "Exempt" on your Federal W-4 if you meet the following criteria:
- For the previous year you received a refund of ALL of the taxes withheld because you had NO tax liability
- Your taxable income, from all sources during the year, will be less than the maximum for your status as noted below:
The table below lists the maximum taxable income from all sources during the year, which can be earned to claim "Exempt" on your W-4(s).
|Single Filers||Claimed as dependent by some else and you earned less than $1.00 in interest during the year||$5,800|
|Not claimed as dependent by someone else||$9,500|
|Married Filers||(Combined income)||$19,000|
|Head of Household||$12,200|
Above table info pulled from IRS website http://www.irs.gov/publications/p505/ch01.html
To claim exemption from tax withholding, write "EXEMPT" on line 7 of the W-4(s). These forms must be renewed annually, by February 15 for the current tax year. If a W-4 is not filled out by February 15 to claim "Exempt" from taxes for the current year, or to drop the "Exempt" status, the employee's withholding status will be changed to single with 0(zero) allowances. A W-4 claiming "Exempt" can be filled out any time during the year.
Individual tax matters are the responsibility of each employee. You should provide Dakota State University with accurate information when establishing your tax status. Federal regulations impose penalties for supplying false withholding information.
Employees with tax questions can contact the DSU Payroll Department at 256-5134, or the Internal Revenue Service at 1-800-424-1040.