California Form DE 4, Employee’s Withholding Allowance Certificate, tells an employer how to calculate California personal income tax withholding from wages. It is separate from federal Form W-4, which controls federal income tax withholding.
When the form is used
California employees generally complete Form DE 4 when starting a job or changing their state withholding. The form addresses filing status, regular withholding allowances, allowances based on estimated deductions, additional withholding, and exemption from withholding when the requirements are met.
Before completing it
- Use the current form and its worksheets.
- Consider income from more than one job and whether a spouse also works.
- Review expected itemized deductions and adjustments rather than guessing allowances.
- Add a specific extra amount when projected state withholding would otherwise be insufficient.
- Claim exemption only when the form’s conditions are satisfied.
Review after major changes
A marriage, divorce, new dependent, second job, bonus, stock compensation, business income, or large investment gain can make prior withholding inaccurate. Form DE 4 addresses wage withholding; it does not by itself account for every source of household income.
This article provides general information and is not individualized tax advice.