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You figure self-employment tax (SE tax) yourself using Schedule SE (Form 1040). Social Security and Medicare taxes of most wage earners are figured by their employers. Also you can deduct the employer-equivalent portion of your SE tax in figuring your adjusted gross income.
Federal Guidelines for Retention of Employee W-4s. An employer must follow federal retention requirements for tax documents. Photodisc/Photodisc/Getty Images. An employee submits a W-4 to an employer to set income tax withholding from earnings. The employer then keeps this form in the employeeâs personnel file.