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In Microsoft Word, you can make a form field mandatory by selecting the required option. This ensures that users fill in the necessary information and cannot bypass the field. In this video tutorial, the process of creating a mandatory field in a benefit election form using legacy tool form fields is demonstrated. To enable the Developer tab, a separate tutorial video is available on the channel. By double-clicking on the text form field and selecting the required option, users can create a mandatory field in their Microsoft Word form.