Payroll

Employee Tax Forms

You must complete Form W-4 so that the University can withhold the correct amount of tax.

• Federal Form W-4  Use to set your tax marital status and allowances for federal withholding tax.
• Illinois Form W-4  Use to set your allowances for Illinois withholding tax.
• Wisconsin Form WT-4  Use to set your allowances for Wisconsin withholding tax.  You must also complete the IL W5-NR with your initial election or you will also have Illinois taxes withheld if you are working in Illinois. 
• Tax Withholding Tables  Explains federal and Illinois tax rates.

Annual Tax Forms and Information

• Form W-2 Information is sent to employees by January 31 each year which provides information for annual tax returns.
  • Employees can now opt-in to receive an electronic version of their 2012 W-2 directly through Self Service.  Employees must opt-in prior to January 16, 2013; for instuctions, click here  .
• Form 1042-S Information is sent to nonresidents receiving scholarship/fellowship payments, independent contracted services, and payments receiving treaty benefits.  It is sent out by March 15 each year for use in preparing annual tax returns.
• Tax Withholding Tables  explains federal and Illinois tax rates.
• IRS Publication 970 Tax Benefits for Education  is useful for scholarship/fellowship recipients to explain how to report their scholarship/fellowship payments and more. It also addresses taxation of employer-provided educational assistance.
• IRS Home Page is where many federal forms and publications can be found.
• Illinois Department of Revenue Home Page is where many Illinois forms can be found.

Scholarships & Fellowships

• Students who receive stipends from a fellowship/scholarship through payroll will not have tax withheld or wages reported on Form W-2 at the end of the year.  They must report on federal and state tax returns, all amounts paid that are not used for qualified expenses (tuition, books, etc.) Please refer to IRS Publication 970  for details about taxation. 
• These students can have tax withheld by completing Form W-4  and Illinois W-4  requesting “Additional amount” to be withheld estimating the amount of tax that will be owed on their taxable fellowship.
• Non-resident fellowship/scholarship recipients are subject to taxation on their paychecks unless the money will be used for educational purposes outside the U.S.  Please contact Payroll for details and include the Statement for Independent Educational Activities Conducted Outside the U.S. along with the appointment/position form. 

Social Security (OASDI) and Medicare Tax for Students

• Students who are enrolled full time will not have Social Security and Medicare (also called FICA) taxes withheld.
• Graduate students who enroll late may have these taxes withheld from their monthly payments. The Graduate School publishes the dates by which students must enroll by to avoid these taxes.
• To receive a refund of Social Security and Medicare tax taken from your monthly check due to late enrollment, you must send the payroll office a copy of both your check stub showing the tax was withheld and a copy of your schedule or other proof of full-time student status. Your tax will be refunded within 30 days.

NRSA Postdoctoral Trainees

• National Institutes of Health (NIH) National Research Service Award (NRSA) postdoctoral trainees continue to retain their trainee status. Information on this can be found on the NRSA web page from the Office of Sponsored Research.
• NRSA post-docs do not have tax withheld or wages reported on Form W-2 at the end of the year.  They must report all amounts paid that are not used for qualified expenses (tuition, books, etc.; please refer to IRS Publication 970 ).
• NRSA post-docs can have tax withheld by completing Form W-4  and Illinois W-4  requesting “Additional amount” to be withheld estimating the amount of tax that will be owed on their taxable fellowship.

Foreign nationals should visit our Nonresident Alien Information and Forms page for important details.