You may wish to verify your taxable wage bases for each taxing authority.
The following is provided to assist you in making the calculations
and explain those items provided for your information in W-2 box 14 .
To calculate your Federal Wage Base on your W-2,
subtract from your Gross Wages found on your last pay statement of the year (each of these may not apply to you):
-
Excludible Moving
Reimbursement: Box 12, Code P
-
Retirement
Contributions: Box 12, Code E (voluntary) plus Box 14, Code RETM
(mandatory)*
-
Health, Dental, and
AFLAC Premiums: Box 14, Code MDCL
-
Flexible Spending
Account Contributions: Box 14, Code FLXM and FLXD
-
Parking Payments:
Box 14, code PRKG
And add:
To calculate your State or Local Wage Base on your W-2,
subtract from your Gross Wages found on your last pay statement of the year (each of these may not apply to you):
-
Health and Dental
Premiums: Box 14, Code MDCL
-
Medical Flexible
Spending Account Contributions: Box 14, Code FLXM
Your FICA (social security or medicare) Wage Base on your W-2,
will be the federal wage base with retirement contributions added to
it; with the exception that the social security base is limited. In
2007 the limit is $97,500. In 2008 the limit is $102,000.
Note1: If you received tuition remission for graduate courses in excess of
$5,250 or your spouse received tuition remission for graduate courses, the
taxable value found on your W-2 in Box 14 as Code TUIT was included in your gross wages on
your pay statement and on the W-2.
Note2: *Mandatory retirement contributions (code RETM found in box 14)
are not included in the limitation on the exclusion for elective deferrals.
Note3:
You may receive two (2) copies of your W-2 forms due to the size of box 14
limiting the display to only three (3) codes. Box 14 information is
for your benefit and not to report information to the government. You
only need to send one copy with your tax filing.
Note4:
If you received a federally taxable
award or gift (included in your federal and FICA wage bases) it is
not included in your state or local wage bases.
