Is FORM 1040 really needed?
My hubby just have W-2 only.
He's employed almost a year now so he still doesn't have a US Federal income tax return (Form 1040).

Is it really necessary? Or paystubs, W-2, letter from employer would be enough?

Tax transcripts are easy to obtain... http://www.irs.gov/individuals/article/0,,id=110571,00.html

Thank you for responding.
Can he still get a transcript even if he didn't reach a year on his job yet?
Hope to hear from you again.

The tax year goes from Jan 1st to Dec 31st. it has nothing to do with how long you've worked for a particular employer.
paycheck stubs and letter from employer are a very good idea, which you have already thought of...