A W-2 tax form shows important information about the income you’ve earned from your employer, amount of taxes withheld from your paycheck, benefits provided and other information for the year. You use this form to file your federal and state taxes.
The number from box 1, your income, is reported on line 7 of your Form 1040. Box 2: Reports the total federal income tax withheld from your pay during the year. This amount is based on the information you included on your Form W-4 with your employer. If you’d rather keep more ...
And box 2 will report the federal income taxes your employer has withheld from your paychecks throughout the year. Your tax withholding is important because it is commonly the reason taxpayers receive tax refunds. If the tax you calculate on your tax return is less than the tota...
and any tip income. Your federal income tax withheld in box 2 is taken from your wages, tips, and other compensation in box 1; for most, the amounts in boxes 1, 3, and 5 are the same, but this is not
. This document asks you to estimate your wages and taxes withheld last year. Again, your final pay stub can help provide these figures. » MORE: Try NerdWallet’s free federal income tax calculator 6. Request more time to file If you want to wait for your official W-2, you may ...
address and Social Security number. If the form shows that you've met the government's minimum reporting requirements, you'll need to send a copy of the W-2 with your federal and state tax returns. If you work for McDonald's and haven't received W-2, there are some things you can...
If you decrease the amounts in section 4 too much, you might owe taxes when you file your tax return because you did not have enough money withheld from your paycheck during the year. If you expect a large refund, you are handing too much of your hard-earned money to the IRS only to...
reduce your taxable wages. This is because each pre-tax deduction has its own tax implication. For example, pre-tax medical and dental contributions are excluded from federal income tax and FICA taxes. However, pre-tax 401(k) deductions are exempt from federal income tax, but not FICA taxes...
. This document asks you to estimate your wages and taxes withheld last year. Again, your final pay stub can help provide these figures. » MORE: Try NerdWallet’s free federal income tax calculator 6. Request more time to file If you want to wait for your official W-2, you may ...
The form shows how much money you earned from that employer during the year, which you can use in calculating your adjusted gross income, or AGI. The form also shows your tax withholdings for the year, including federal and state taxes. Essentially, the W-2 will give you a sense of how...