What is Form W-2 Wage and Tax Statement

Form W-2 is a official tax document used in the United States to report wages paid to employees and the taxes withheld from them.

Employers must complete and send a W-2 form to each employee they paid $600 or more during the previous year

What You'll find on a  W-2 Form

01. Personal information: – Employee's name, address, and social security number. – Employer's name, address, and employer identification number (EIN).

02. Wages and other Compensation:  – Total wages, salary, and tips earned by the employee during the tax year. – Contributions to retirement plans and other pre-tax benefits.

03. Tax Withholding Information: – Details on federal income tax withheld. – State income tax withheld. – Social Security & Medicare taxes withheld.

04. Additional Information: – Any other deductions or benefits provided by the employer, such as health insurance or dependent care benefits.

Employers are required to distribute W-2 forms to their employees by January 31st of each year.

Employees use the information on the W-2 form to prepare their individual Income Tax Returns.