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aquinones
Level 2

414h Retirement

Our company has a 414(h) retirement deduction.  A percentage is deducted from the employees pay check. I need that Box 1, 3 and 5 on the W2 be reduced by the amount deducted and also I need it to show on Box 14 not Box 12.  If I set it up as other it will not reduce my Box 1 on the W2. 

3 Comments
MirriamM
Moderator

414h Retirement

Hi there, aquinones.

 

Let me share information with you how W2 form populates in QuickBooks Desktop (QBDT).

 

The information that populates on W-2 form depends on how you enter data in QuickBooks. 

 

For Box 1 on the W-2 form, the system calculates the total wages, tips, bonuses, overtime pay, etc., that are subject to federal income tax, and paid to the employee during the reporting year.

 

For Box 3, this line calculates the total wages subject to employee Social Security tax, not including Social Security tips (box 7) or allocated tips (box 8), up to the maximum amount.

 

For Box 5, this is the total gross wages subject to Medicare tax, not including allocated tips (box 8).

 

For it to show on Box 14, consider the following information reported on this box:

 

Then, to ensure the amount will not populate on Box 12, I recommend checking the Taxability of pay types and deductions.

 

You may also wish to contact your accountant for guidance in setting up the retirement deduction. This is to ensure your reports on W2 is correct.
 

To know more how Quickbooks defined each box and field on the W2 form, I recommend checking out these articles:

In case you'd want to print your W2 form, here's an article for your guide: Print W-2 and W-3 forms.

 

If there's anything else you need about W2 form, feel free to comment below. I'm here to help. Wishing you and your business continued success.

aquinones
Level 2

414h Retirement

Thank you for your reply but it did not help me resolve my issue. 

Jovychris_A
QuickBooks Team

414h Retirement

Hi there, @aquinones.

 

You can enter historical tax payments to correct your W-2 data. Let me walk you through the steps.

 

  1. Go to the Help menu, choose About QuickBooks.
  2. Press Ctrl + Alt + Y or Ctrl + Shift + Y on your keyboard to open the Setup YTD Amounts window.
  3. Select Next until you reach the Enter prior payments section.
  4. In the Enter Prior Payments window, select Create Payment to enter all prior payroll tax and non-tax payroll liability payments you have made during the current or previous years.
  5. Enter the Payment Date and For Period Ending date accordingly.
  6. In the Taxes and Liabilities field, choose the payroll tax item that you've already paid and want to record in QuickBooks Desktop. 
  7. Select test the Accounts Affected... button
  8. Click Next Payment after you have completed the first payment.
  9. Select Done to save your work and click Finish.

 

You can also refer to this link for more details in entering historical tax payments in Desktop payroll.

 

You can also enter historical payroll data to correct your W-2 form.

 

However, if you find the error after you file your W-2s, you can create a W-2c and W-3c in QuickBooks and print them on perforated paper only (not pre-printed). You’ll need to file the W-2c and W-3c manually with the Social Security Administration.

 

Let me know if you have other queries in managing your taxes in QBDT. Anytime I can help. Take care!

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