The IRS released the 2024 Publication 15-T, Federal Income Tax Withholding Methods, as well as the 2024 Forms W-4, W-4P, and W-4R. Employees and payees may now use the IRS’s tax withholding estimator when completing their 2024 Form W-4 and Form W-4P.
Publication 15-T describes how to figure federal income tax withholding using the percentage method and the wage bracket method and describes alternative methods for figuring withholding. The publication explains how to withhold income tax based on pre-2020 Forms W-4 and 2020 or later Forms W-4.
The IRS released the 2024 Form W-4, Employee’s Withholding Certificate, with few changes. Instructions for using the IRS’s tax withholding estimator when figuring withholding for multiple jobs, which were removed in the 2023 version, have been added back to the form. The amounts in the tax tables for use with the Multiple Jobs Worksheet have been updated for 2024.
The 2024 Form W-4P, Withholding Certificate for Periodic Pension or Annuity Payments, and the 2024 Form W-4R, Withholding Certificate for Nonperiodic Payments and Eligible Rollover Distributions, have also been released. There are few changes.
For more information, see the PAYO Compliance Update, IRS Releases 2024 Publication 15-T. Compliance updates are emailed to PayrollOrg members and are also available on the Compliance Updates webpage.
To learn more about federal and state laws, regulations, and information to keep your company's payroll operations in compliance, check out Payroll Source Plus!
Jyme Mariani, Esq., is Managing Editor of Payroll Currently and Senior Manager of Payroll Information Resources for PayrollOrg.