Depending on their chemical composition, Yb compounds often exhibit different valence states.Here we investigate the valence state of YbFe 4 Al 8 using X-ray photoelectron spectroscopy (XPS) and first-principles calculations. The XPS valence band of YbFe 4 Al 8 consists of two contributions coming from divalent (Yb 2+ ) and trivalent (Yb 3+ ) configurations. The determined value of the valence at room temperature is 2.81. Divalent and trivalent contributions are also observed for core-level Yb 4d XPS spectra. We study several collinear antiferromagnetic models of YbFe 4 Al 8 from the first-principles and for comparison we also consider LuFe 4 Al 8 with a fully filled 4f shell. We predict that only Fe sublattices of YbFe 4 Al 8 carry significant magnetic moments and that the most stable magnetic configuration is AFM-C with antiparallel columns of magnetic moments. We also present a Mullliken electronic population analysis describing charge transfer both within and between atoms. In addition, we also study the effect of intra-atomic Coulomb U repulsion term applied for 4f orbitals on Yb valence and Fe magnetic moments.