People may hold more than one job. A study from the United States Census Bureau reveals that at least 13 million employees worldwide have more than one job. People who work part-time or who switch employment are included in this population. Thus, you will find numerous employees nowadays with multiple W2s.
Filing their taxes has been made easy with the IRS. The Internal Revenue Service makes an initiative to make the life of part time workers easier. If you had multiple employers throughout the entire year, here’s what you need to know about filing your taxes for easier transactions. It is your employer’s responsibility to file a W2.
How Much You Should Earn To Receive a W-2?
If you earn at least $600 in a specific year, your employer must provide a W-2 form. If you also had taxes withheld from your employer, you will receive your W-2. However, you will receive a 1099 form instead of a W-2 if you are a contracted individual.
A 1099 tax form is a form that you will receive if you work for yourself on a daily basis. You may also receive this type of form if you adhere to investments and retirement distributions to the IRS.
Difference Between W-4 and W-2 Forms
The W-2 forms will be sent to all employees to input their tax return at the end of the year. These forms should be filled out by the employers. On the other hand, W-4 forms will be sent out to the employees to provide their tax ID number and other personal information including their number of dependents and allowances and their marital status.
What If You Lost Your W-2 Form?
You can get your W-2 form back in a variety of ways. You can always get it back if you have unintentionally misplaced it and still have access to the online form. If you also need a new paper copy, you must communicate with your HR supervisor or your payroll department. It is also common to ask for automated password recovery if you’ve forgotten your login information for an online site.
W-2 Form Boxes
Box A. In this box, you have to make sure that every detail is correct including your Social Security number. Any misinformation can delay the process.
Box B. This is where your Employer Identification Number is reported. An EIN is used to identify the tax accounts of your employers.
Box C. Depending on your employer’s current site, this box contains the legal address of your employer.
Box D. You may leave this blank. It totally depends on you. This box reports the number of your payroll department.
Box E and F. The box e contains your legal name. On the other hand, the box f reports your mailing address. You also have to make sure that every detail you have placed is correct.
First Few Boxes On The Right
Box 1. This box reports your total taxable wages and your other compensations for the entire year.
Box 2. The box 2 from the right shows the employees’ total federal income tax withheld from their pay during the entire year.
Box 3. This box represents your total wages.
Box 4. This box includes the total Social Security taxes that are withheld within one year.
Box 5. Box 5 reports all your tips and wages that are required by Medicaid.
Box 6. This box represents the Medicare tax total amount withheld from your pay within a year.
2 Primary Things You Should Do On Your W-2 Form
- By the end of January, it must be sent out to the employees. Employers who reported an income for their employees for the year 2019, should provide a form by January 31, 2020.
- Employers should send W-2 forms for their employees to the Social Security Administration (SSA).
Can all taxpayers obtain W-2 forms?
Not all taxpayer employees can receive W-2 forms. For non-employee compensation, independent contractors and freelancers receive a 1099-NEC form. This is the newest form for the tax year 2020 where all independent contractors are required to report their earnings via Form 1099-MISC.
Important Details You Need To Complete Your W-2 Form
You will be needing some important information in filling out your W-2 form. Some of this includes your employee’s earnings and benefits, and information about your business such as your business name, business’ State Tax ID number, address, and your employer ID number. For the employees, you should require their latest personal information including their name, address, and Social Security Number.
I have two W2 forms from different employers do I have to file both?
You will get multiple W-2 forms if you work for multiple employers throughout the year. If you are already working during your college years, you would get your W-2 form. You will get another one during your post-grad employment. If ever you will change your jobs, you will automatically get your W-2 forms.
If I have two w2 forms do I add them together?
Nowadays, filing your taxes has become easy. It’s just a few clicks away. To keep the whole process smooth, you have to follow a few tips. Let’s take a closer look at these fundamental tips that will guide you throughout the entire procedure.
- Be mindful of the credits and deductions. You may qualify for tax credits or deductions regardless of the simplicity of your job. Always find useful receipts for education forms or for child care to ensure that you are minimizing your tax burdens as long as you can.
- Reach Out to Your Employers. One of the main responsibilities of an employer is to provide W-2 forms. Reach out to your HR department or even to the business owner if you haven’t received any.
- Utilize Tax Software. In filling your W-2 forms, tax software such as the TurboTax and H&R Block are some of the most useful and accessible software to fill your forms. These types of software allow users to upload the photos of their W-2 forms for documentation purposes.