Quick Answer
The current W-4 doesn't use allowances like 0 or 1 anymore. Instead, check "Single" or "Married filing jointly" in Step 1, and leave Steps 2-4 blank if you have one job. This typically results in accurate withholding and a small refund of $200-$800.
Best Answer
Sarah Chen, CPA
Best for employees with one job who want to understand the new W-4 form and get accurate withholding
The W-4 changed — no more allowances
The "claim 0 or 1" question refers to the old W-4 form that was replaced in 2020. The current Form W-4 doesn't use allowances at all. Instead, it uses a step-by-step approach that's more accurate but requires understanding what each section does.
According to IRS Publication 15-T, the new system is designed to match your withholding more closely to your actual tax liability.
What the old allowances meant (for context)
Old system translation:
How to fill out the current W-4 for accurate withholding
Step 1: Personal Information
Step 2: Multiple Jobs (leave blank if you have one job)
Step 3: Dependents (claim children/dependents if applicable)
Step 4: Other Adjustments (leave blank for most people)
Sign and date — you're done!
Example: What this means for your paycheck
Let's compare the old vs. new system for someone earning $60,000 annually:
*Approximate, includes FICA taxes
What happens if you do nothing?
If you have an old W-4 on file, your employer continues using it. However, the IRS recommends updating to the new form because:
Step-by-step for most employees
If you want results similar to the old "claiming 1":
1. Check your filing status in Step 1
2. Leave Steps 2-4 blank
3. Submit the form
If you want results similar to the old "claiming 0" (maximum withholding):
1. Check your filing status in Step 1
2. In Step 4(c), enter additional withholding like $50-100 per paycheck
3. Submit the form
Key factors that affect your withholding choice
What you should do
1. Submit a new W-4: Don't rely on an old form from 2019 or earlier
2. Start simple: Most people should just complete Step 1 and leave the rest blank
3. Check your first few paystubs: See if the withholding amount looks reasonable
4. Adjust if needed: Use the IRS Tax Withholding Estimator if your situation is complex
Use our W-4 optimizer to determine the best settings for your specific situation and ensure you're not over-withholding or under-withholding.
Key takeaway: The current W-4 doesn't use allowances. For most single employees with one job, check "Single" in Step 1 and leave Steps 2-4 blank for withholding similar to the old "claiming 1" approach.
*Sources: [IRS Publication 15-T](https://www.irs.gov/pub/irs-pdf/p15t.pdf), [Form W-4 Instructions](https://www.irs.gov/pub/irs-pdf/iw4.pdf)*
Key Takeaway: The current W-4 doesn't use allowances. For most single employees with one job, check "Single" in Step 1 and leave Steps 2-4 blank for withholding similar to the old "claiming 1" approach.
W-4 strategies comparison for different situations (based on $60,000 annual salary)
| Approach | Annual Federal Withholding | Expected Refund | Best For |
|---|---|---|---|
| Single, Steps 2-4 blank | ~$7,200 | ~$400-800 | Most single employees with one job |
| Single + $50 extra per paycheck | ~$8,500 | ~$1,700-2,100 | Want guaranteed refund |
| Married filing jointly, basic | ~$5,800 | Varies widely | Single-income married couples |
| Married + Step 2 completed | ~$7,600 | ~$200-600 | Dual-income married couples |
More Perspectives
Sarah Chen, CPA
Best for new workers filling out their first W-4 who want simple, straightforward guidance
Simple W-4 guidance for your first job
Don't worry about the old allowance system — that's not how it works anymore. The current W-4 is actually easier for first-time workers because you just need to complete Step 1 in most cases.
Your first W-4: Keep it simple
What to do:
1. Step 1: Check "Single" (even if you're in a relationship, unless you're legally married)
2. Steps 2-4: Leave completely blank
3. Sign and date
What this gets you:
Example for entry-level salary
If you earn $40,000 at your first job and follow the simple approach above:
Red flags to avoid
When to get help
Consider using the IRS Tax Withholding Estimator or our W-4 optimizer if:
Key takeaway: For your first job, simply check "Single" in Step 1 and leave everything else blank — this replaces the old "claiming 1" and works perfectly for most entry-level employees.
Key Takeaway: For your first job, simply check "Single" in Step 1 and leave everything else blank — this replaces the old "claiming 1" and works perfectly for most entry-level employees.
Sarah Chen, CPA
Best for married couples who both work and need to coordinate their W-4 withholding
W-4 strategy for married couples
When you're married and both spouses work, the W-4 gets more complex because your combined income might push you into higher tax brackets. The old "claiming 0 or 1" approach often resulted in significant under-withholding for dual-income couples.
The safest approach for married couples
Option 1: Both complete Step 2(c)
Option 2: One spouse uses "Single" rate
Example: Couple earning $50,000 and $70,000
If both use "Married filing jointly" without Step 2:
If both complete Step 2 properly:
Why married withholding is tricky
Each employer's payroll system assumes your spouse doesn't work and applies the full married standard deduction ($30,000) to each job. This double-counts the deduction and under-withholds taxes.
The new W-4 Step 2 fixes this by coordinating withholding between both jobs.
Quick decision guide
Key takeaway: Married couples should either both complete W-4 Step 2 or have the higher earner use "Single" withholding to avoid significant under-withholding that was common with the old allowance system.
Key Takeaway: Married couples should either both complete W-4 Step 2 or have the higher earner use "Single" withholding to avoid significant under-withholding that was common with the old allowance system.
Sources
- IRS Publication 15-T — Federal Income Tax Withholding Methods
- Form W-4 Instructions — Employee's Withholding Certificate Instructions
- IRS Tax Withholding Estimator — Online tool for complex withholding situations
Related Questions
Reviewed by Sarah Chen, CPA on February 28, 2026
This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.