Publication 5360 — Paycheck Checkup using the IRS Tax

Official source: IRS Forms, Instructions & Publications (https://www.irs.gov/pub/irs-pdf/p5360.pdf), retrieved 2026-10-03. U.S. Government work (17 U.S.C. § 105).

Since you pay taxes on the income you earn or receive throughout the year, using the IRS Tax Withholding Estimator tool will help you avoid tax-time surprises, especially if you have changes in your situation.

Many factors affect the tax you owe, so if your life situation changes, it’s helpful to check your withholding so you can adjust it if needed. Too little federal income tax withheld can lead to owing taxes or a penalty when filing your return. Too much tax withheld means you may receive a refund at tax time.

Check your withholding every year, but especially when you have major life changes,…¶

Family changes

❯ Change in marital status

❯ Birth or adoption

❯ Change in number of dependents (child or

other qualifying relative)

New deductions or credits

❯ New home with mortgage interest

❯ New college student who qualifies for higher

education credits

Income or job changes

❯ Major change in income

❯ Change in job or loss of job

❯ Receiving unemployment compensation

❯ First job or multiple jobs

❯ Side gig work

❯ Retirement

Exceptions & meaning →

How to do a Paycheck Checkup¶

Gather your documents

❯ Most recent pay stubs for all jobs, including

spouse’s job

❯ Most recent income tax return

❯ Other income info for side jobs,

self-employment, investments, etc.

Visit IRS.gov to estimate your tax & withholding

❯ Use the Tax Withholding Estimator to help

see how your current withholding affects your refund, take-home pay or tax due. The Estimator can help you determine how to complete Form W-4 so you don’t have too much or too little federal income tax withheld.

Take action

❯ If the tool suggests you need to adjust your

withholding, you can:

❯ Complete a new Form W-4 using the

tool’s suggestions and submit it to your employer.

❯ Make an estimated payment or decrease/

increase your upcoming estimated tax payments to the IRS.

Publication 5360 (Rev. 6-2022) Catalog Number 73003J Department of the Treasury Internal Revenue Service www.irs.gov

Exceptions & meaning →