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W4
Benefits & Compensation
W4
Exchange ideas about health plans, retirement, work/life benefits, and employee assistance.
Hello,
How ofter can an employee change his W4?
Does there have to be a status change like marriage, divorce, birth of child or can EEs change the form whenever they want?
Thanks a lot.
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Forums » Topic Forums » Benefits & Compensation » W4
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W4
posted at 12/4/2008 9:20 AM EST
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Posts: 2146
First: 2/15/2006 Last: 9/14/2011 |
The employee can change the form every payroll period if he/she likes. However, the employer has a certain time period by law with which to process it.
From Publication 15, "If an employee gives you a Form W-4 that replaces an existing Form W-4, begin withholding no later than the start of the first payroll period ending on or after the 30th day from the date when you received the replacement Form W-4." However from a payroll processing standpoint, unless your system allows for future dated transactions/changes, it may be a larger pain to hold the change that long. The chance of losing or getting misplaced in 30 days or having to go through a file to see which ones are due when can be just as much of a nightmare as changing each payroll period. |
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W4
posted at 12/4/2008 9:35 AM EST
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Posts: 59
First: 9/5/2008 Last: 9/4/2009 |
Thank you.
Does that mean that the payroll department should wait for those dates or can they process it immediately as the new W4 comes? basically as fast as administratively feasible? ..." begin withholding no later than the start of the first payroll period ending on or after the 30th day from the date when you received the replacement Form W-4." |
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W4
posted at 12/5/2008 5:55 AM EST
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Posts: 2146
First: 2/15/2006 Last: 9/14/2011 |
That is just the LATEST it can be processed. I know some companies hold it 'til then when they have a lot of employees who make a lot of changes and/or have a system that can take postdated transactions.
I process ours as of the date we are given them...and my employees know that they have to give it to me by the Friday before the pay Friday for it to be effective on that paycheck. |
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