By What is Box 12 on W-2 used for?
Box 12: Deferred Compensation and Other Compensation. The following codes are commonly used by the College: Code C – Taxable benefit of group term-life insurance over $50,000. Already included as part of your taxable wages in Boxes 1, 3, and 5. Code E – Non-taxable elective salary deferrals to a 403(b) retirement plan.
What does 12c mean on W-2?
| Box 12 Code | Description |
|---|---|
| B | Uncollected Medicare tax on tips |
| C | Taxable cost of group-term life insurance over $50,000 |
| D | Elective deferrals to a section 401(k) cash or deferred arrangement. Also includes deferrals under a SIMPLE retirement account that is part of a section 401(k) arrangement |
Do I have to report Box 12 W on my tax return?
Individuals (employees) do not have to report the cost of coverage under an employer-sponsored group health plan that may be shown on their Form W-2, Wage and Tax Statement, in Box 12, using Code DD. This reporting is for informational purposes only, to show employees the value of their health care benefits.
What can be included in W-2 Box 1?
Box 1 shows your total taxable wages, tips, prizes and other compensation, as well as any taxable fringe benefits. It does not include elective deferrals to retirement plans, pretax benefits or payroll deductions.
What is Code V on W-2 Box 12?
The code “V”will be in Box 12. The difference between the option price and the FMV when you exercised your option is included in your W-2 income. So, you’ll have already paid taxes on it. The basis of the stock is the FMV of the stock on the date you exercised the options.
What should be included in Box 12 dd on W-2?
Box 12 amounts with the code DD signify the total cost of what you and your employer paid for your employer-sponsored health coverage plan.
What are the codes for Box 14 on W2?
Box 14 — Employers can use this W-2 box to report information like:
- A member of the clergy’s parsonage allowance and utilities.
- Charitable contributions made through payroll deduction.
- Educational assistance payments.
- Health insurance premiums deducted.
- Nontaxable income.
- State disability insurance taxes withheld.
Does Box 12 on W2 affect taxes?
This amount is for information purposes only — it doesn’t affect the numbers in your tax return.
What is Code V on W2 Box 12?
How does Box 12 W affect taxes?
Code W in Box 12 of your W2 indicates that you have an employer-sponsored Health Savings Account and that there was money deposited into your HSA through the payroll system at work. Code W opens up Form 8889, Health Savings Accounts, on your tax return.
What are the W-2 Box 12 codes?
W-2, Box 12 Codes
| Box 12 Code | Description |
|---|---|
| S | Employee salary reduction contributions under a section 408(p) SIMPLE plan |
| T | Adoption benefits |
| V | Income from exercise of nonstatutory stock option(s) |
| W | Employer contributions (including employee contributions through a cafeteria plan) to an employee’s health savings account (HSA) |
What are the codes for Box 14 on W-2?
What does box 12 code “W” on my W2 mean?
Code W in Box 12 of your W2 indicates that you have an employer-sponsored Health Savings Account and that there was money deposited into your HSA through the payroll system at work. Code W opens up Form 8889, Health Savings Accounts, on your tax return.
What is the form W2 box 12 codes mean?
The W-2 Box 12 codes provide more information and determine if the amount is income. However, if any amount is gross income, it’s already included in W-2 Box 1. Each W2 Form box 12 code is either a single or double letter code. The W2 Box 12 codes are: A — Uncollected Social Security or RRTA tax on tips.
What do the codes mean on W2?
Answer. The W2 boxes and codes show the wages you’ve earned and any taxes paid through withholding. To help you understand your Form W2 , we’ve outlined each of the W-2 boxes and the corresponding W2 box codes below. Box 1 — Shows your wages, tips, prizes, and other compensation for the year.
What is box 11 on W2?
From W-2 instructions: “Box 11—Nonqualified plans. The purpose of box 11 is for the SSA to determine if any part of the amount reported in box 1 or boxes 3 and/or 5 was earned in a prior year. The SSA uses this information to verify that they have properly applied the social security earnings test and paid the correct amount of benefits.