You just started a new job in Richmond or maybe you're finally looking at your paystub after a year of "ignoring the scary numbers." You see a line item for Virginia state taxes, and it feels... high. Or maybe too low? Most people think their state taxes just follow whatever they put on their federal W-4. Honestly, that's the biggest mistake you can make with your money in the Commonwealth.
Virginia doesn't use the federal form for its own math. It uses the virginia state w 4, officially known as Form VA-4.
If you haven't touched this form since 2019, your withholding is probably a mess. The federal government overhauled the W-4 years ago, getting rid of "allowances" entirely. Virginia, however, stuck to its guns. We still use the allowance system here. If you didn't specifically tell your employer how many Virginia exemptions you have, they are likely withholding tax as if you have zero. That basically means you’re giving the state an interest-free loan while your monthly budget feels the squeeze.
What Actually Is the Virginia State VA-4?
Basically, the virginia state w 4 (Form VA-4) is the "Employee’s Withholding Allowance Certificate." It’s the document that tells your boss exactly how much of your paycheck should be sent to the Virginia Department of Taxation before the rest hits your bank account.
Unlike the federal version, which is now a confusing four-page worksheet about "Multiple Jobs" and "Other Income," the VA-4 is old school. It's a simple, one-page sheet. It relies on a "Personal Exemption Worksheet" to determine your magic number.
The Math Behind the Exemptions
Each exemption you claim on this form reduces the amount of your income that is subject to state withholding. For the 2026 tax year, the math matters more than ever because of the shifting standard deduction.
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- Line 1: This is for you. If no one else claims you as a dependent, you put a "1" here.
- Line 2: This is for your spouse. But wait—you only claim "1" here if your spouse isn't claiming themselves on their own VA-4. If you both work, typically you both claim yourselves on your respective forms.
- Line 3: Dependents. This is usually your kids.
- Lines 5 & 6: These are the "hidden" ones. If you or your spouse are 65 or older, or legally blind, you get extra exemptions.
Most people just breeze past the age and blindness section, but if you're 65, that's an extra $800 deduction in Virginia. It's worth the five seconds it takes to read the line.
Why 2026 is Changing the Game
Things are getting a bit weird with Virginia taxes right now. For the 2026 tax year, we’re seeing a shift in how the state handles the money we keep.
The Virginia General Assembly has been tinkering with the standard deduction. For a while, it was stuck at lower levels, but for 2026, the standard deduction is indexed to inflation. This is huge. It means if the cost of eggs and gas goes up, the amount of money you can earn tax-free in Virginia also ticks up.
If your virginia state w 4 is still set to "0" or "1" and you've got a spouse and two kids at home, you are massively overpaying the state every single month. We’re talking potentially $100 or $200 less in your pocket per month than you should have.
Important Note: Virginia uses a progressive tax rate that tops out at 5.75% for income over $17,000. Because that threshold is so low, almost everyone with a full-time job hits the top bracket immediately. This makes your VA-4 exemptions the primary way to control your take-home pay.
The "Exempt" Trap: Don't Check This Unless You're Sure
On the bottom of the virginia state w 4, there's a box for "Exempt." It’s tempting. Who doesn't want zero taxes taken out?
But Virginia is strict. You can only claim exemption from withholding if you had zero tax liability last year and expect zero this year. Usually, this only applies to students working part-time or people earning very low wages (less than $11,950 for single filers).
If you check that box and you actually owe money, you aren't just going to have a big bill in May. You're going to get hit with an "addition to tax"—which is just a fancy way of saying a penalty for underpayment. As of early 2026, Virginia’s underpayment interest rate is sitting around 9%. That is a painful price to pay for a paperwork error.
Step-by-Step: Filling Out the Form Like a Pro
Let's be real: no one likes tax forms. But doing this right takes maybe four minutes.
- Get the latest version. Don't use a PDF you found on a random blog from 2014. Go to the Virginia Tax website and grab the 2026 version.
- Calculate your subtotals. Use the worksheet on the back (or the top half of the PDF). If you’re single with no kids, your total is almost always "1." If you're married with two kids and your spouse stays home, your total is "4."
- The "Additional Withholding" trick. This is Line 2 on the actual certificate. If you have a side hustle—maybe you’re driving Uber or selling vintage clothes on the weekend—you won't have taxes taken out of those checks. You can use Line 2 of your virginia state w 4 at your "real job" to take out an extra $50 or $100 per pay period to cover those side earnings. It’s way easier than remembering to save money for estimated tax payments.
- The Military Spouse Rule. If you’re in Virginia because of military orders and your "legal" home is another state, you might not owe Virginia taxes at all. Look for the SCRA (Servicemember Civil Relief Act) section on the form. It’s a massive benefit that people often overlook.
The Reciprocity Problem
Virginia has a "we're cool with you" agreement with several neighboring states. If you live in Kentucky, Maryland, Pennsylvania, West Virginia, or D.C. but work in Virginia, you might not have to pay Virginia income tax.
Instead of the standard virginia state w 4, you might actually need to check Line 3(d). This tells your Virginia employer, "Hey, I pay taxes to Maryland, so don't take Virginia taxes out." If you don't do this, you’ll end up paying both states and waiting months for a refund from Virginia to pay what you owe to your home state. It's a liquidity nightmare.
Common Mistakes to Avoid
People mess this up constantly. I've seen it a hundred times.
First, don't assume your employer "knows" your status. They don't. If you get married or have a baby, they aren't going to update your virginia state w 4 for you. You have to submit a new one.
Second, don't confuse the VA-4 with the VA-4P. The "P" is for pensions. If you're retired and receiving an annuity, the VA-4P is your document. Using the wrong one can lead to your pension administrator withholding at the wrong rate.
Third, the "Personal Exemption" is not the same as the "Standard Deduction." The exemption (what you claim on the VA-4) is a fixed number that reduces your taxable income per person. The standard deduction is a separate chunk of change the state ignores when calculating your final tax bill. You want to maximize both by being accurate.
Your 2026 Action Plan
If you want to stop guessing and start knowing where your money is going, do these three things:
- Check your last paystub. Look for "VA State Tax." If the amount seems weirdly high (like more than 6% of your gross pay), you probably have "0" exemptions listed.
- Download the 2026 VA-4. Spend three minutes on the worksheet. If you find out you should be claiming "3" but you're currently at "1," you're effectively giving yourself a raise by updating the form.
- Submit it to HR immediately. Most companies take one or two pay cycles to process the change. If you do it now, you’ll see the difference by next month.
Managing your virginia state w 4 isn't about being a tax expert; it's about making sure your money stays in your pocket until the state actually has a right to it. Given the new 2026 inflation adjustments and the higher standard deduction, there has never been a better time to audit your own withholding.