Minnesota’s employee withholding certificate is Form W-4MN. People often search for “Form M4,” but that name belongs to the state’s Corporation Franchise Tax Return, which businesses file. If a new employer handed you paperwork and asked for a Minnesota withholding form, W-4MN is the one you want. You complete it, sign it, and give it to your employer so the correct amount of Minnesota income tax comes out of each paycheck.
Why the Federal W-4 Isn’t Enough
When the IRS redesigned the federal W-4 in 2020, it dropped the allowance system. Minnesota kept its allowances, so a federal W-4 alone no longer tells your employer how to calculate state withholding. Every employee who fills out a federal W-4 must also complete a separate W-4MN. Skip it and your employer is required to withhold at the single filing status with zero allowances, which is the highest default rate.
When to File or Update the Form
You need a new W-4MN when you start a job. You also need one whenever your tax picture shifts: getting married or divorced, having a child, a spouse starting or stopping work, or picking up a second job. Submit a revised form any time you notice your withholding is producing a large refund or a balance due at tax time. There is no cap on how often you can update it.
Section 1: Counting Your Allowances
Section 1 is where most people spend their time. Steps A through F build up your total allowance number. Each allowance shelters some income from withholding, so more allowances means less tax withheld per paycheck. Download the current form from the Minnesota Department of Revenue at revenue.state.mn.us.
- Step A. Enter “1” if no one else can claim you as a dependent on their federal return. Most working adults enter 1.
- Step B. Enter “1” if you are single with only one job, married with one job and a non-working spouse, or if wages from a second job or your spouse’s job total $1,500 or less. Otherwise enter “0.”
- Step C. Enter “1” if you are married. Enter “0” instead if you are married and either your spouse works or you hold more than one job. This is the form’s main safeguard against under-withholding for two-income households.
- Step D. Enter the number of dependents you expect to claim on your Minnesota return.
- Step E. Enter “1” if you will file as head of household.
- Step F. Add Steps A through E. This total goes on Line 1 of the certificate unless you also complete the optional Itemized Deductions and Additional Income Worksheet.
The Itemized Deductions and Additional Income Worksheet is for people who plan to itemize on their Minnesota return rather than take the standard deduction. For 2026, Minnesota’s standard deduction is $15,300 for single filers, $30,600 for married filing jointly, $15,300 for married filing separately, and $23,000 for head of household. Only use the worksheet if you’re confident your itemized deductions will exceed those amounts.
Two-Earner and Multiple-Job Households
Under-withholding is the most common problem for households with more than one income. The form’s instructions are direct: if your spouse works or you hold more than one job, enter zero at Step C. That single change fixes the issue for many people. If you still expect to owe, use Line 2 to request a flat dollar amount of additional Minnesota withholding from each paycheck.
When you hold multiple jobs, figure your total allowances on one W-4MN and claim all of them on the form for your highest-paying job. File W-4MN forms with zero allowances at your other jobs. Splitting allowances across employers almost always leaves you short, because each payroll system assumes it’s the only one withholding from you.
Section 2: Claiming Exempt From Withholding
Section 2 is only for employees who owe no Minnesota income tax at all. If you qualify, skip Section 1 entirely and check one of six boxes.
- Box A. You meet the federal requirements for exempt status, you had no Minnesota income tax liability last year, you received a full refund of Minnesota withholding, and you expect no Minnesota liability this year.
- Box B. You did not claim exempt on your federal W-4, but you still had no Minnesota liability last year, got a full refund of Minnesota withholding, and expect no Minnesota liability this year.
- Box C. You are the spouse of an active-duty military member stationed in Minnesota, your legal residence is another state, and you are in Minnesota solely to be with your spouse.
- Box D. You are an American Indian who both resides and works on the reservation for which you are enrolled.
- Box E. You are a Minnesota National Guard member or active-duty U.S. military member claiming exempt on military pay only.
- Box F. You receive a military pension or military retirement pay and claim exempt on that income.
You cannot claim exempt if someone else can claim you as a dependent on their federal return, your annual income exceeds $1,100, and your income includes more than $350 of unearned income. All three conditions must apply to disqualify you; meeting only one or two does not block the exemption. Nonresident aliens for federal tax purposes also cannot claim exempt.
Where the Form Goes After You Sign It
Sign and date the certificate and give it to your employer’s payroll or HR department. You do not send W-4MN to the Department of Revenue yourself. Keep the worksheets for your own records; only the certificate portion goes to your employer.
Your employer must forward a copy of your W-4MN to the Department of Revenue in three situations:
- You claim more than 10 Minnesota withholding allowances.
- You claim exempt from withholding and your employer reasonably expects your wages to exceed $200 per week.
- Your employer believes you are not entitled to the number of allowances you claimed.
Employers face a $50 penalty for each required W-4MN they fail to submit.
If You Live in Michigan or North Dakota
Minnesota has income tax reciprocity agreements with Michigan and North Dakota. If you live in either state but work in Minnesota, you do not use W-4MN. Give your employer a completed Form MWR (Reciprocity Exemption/Affidavit of Residency) instead, and no Minnesota tax will be withheld. A new MWR is due by February 28 each year, or within 30 days of starting work. If you miss the window and Minnesota tax gets withheld, you can file a Minnesota return to claim a refund.
Penalties for Getting It Wrong
Knowingly filing an incorrect W-4MN carries a $500 penalty from the Department of Revenue. Providing false or fraudulent withholding information to your employer is a gross misdemeanor under Minnesota law, punishable by up to 364 days in jail and a fine of up to $3,000.
If your withholding falls short and you end up owing more than $500 in Minnesota income tax after subtracting withholding and refundable credits, you may face an underpayment penalty. The interest rate on unpaid tax for 2026 is 7 percent, charged from the due date until the balance is paid in full. Updating your W-4MN as soon as your circumstances change is the simplest way to avoid that charge.