W2 2.7z.002 -

The taxable amount for Social Security is capped at $176,100 for 2025 (reported on the 2026 W-2).

Employers must withhold an additional 0.9% on FICA wages exceeding $200,000 in a calendar year. 5. Essential W-2 Best Practices for 2026 2026 General Instructions for Forms W-2 and W-3 - IRS W2 2.7z.002

This amount is generally included in taxable wages in Box 1 and is subject to additional taxes if the plan failed to satisfy 409A requirements. 3. Managing Too Many Box 14 Entries The taxable amount for Social Security is capped

As the 2026 tax season approaches, employees and employers need to prepare for specific updates to the Wage and Tax Statement (Form W-2) reporting. While the fundamental structure of the W-2 remains, 2026 introduces new employer-provided contribution options that may appear in Box 12. 1. New for 2026: Trump Account Contributions Essential W-2 Best Practices for 2026 2026 General

If your employer reports more than four items in Box 14, you may receive multiple W-2 forms, or you may need to ask your employer to aggregate them for electronic filing. When filing, you may need to create a second W-2 entry in your tax software, listing $1 in Box 1 to activate the additional code entry fields. 4. 2026 Social Security and Medicare Updates

Navigating Your 2026 W-2: Key Updates, Box 14 Codes, and New 'Trump Accounts'

Beginning , a new type of traditional individual retirement account—known as a Trump account—can be established for employees' children under 18.