W-2 FAQ’s for 2014
Frequently Asked Questions (FAQs) by Employees Concerning the 2014 W-2 Form
- Why do the wages reported on my W-2 not match my true earnings?
Due to government regulations, pre-tax deductions, retirement, and annuity contributions deducted from your paycheck may not be included in wages subject to taxes. If you have none of these deductions or contributions on your paycheck, your W-2 wages will equal your true gross wages.
- Why are there four wage amounts listed on my W-2 Form and why are they different amounts?
Government regulations determine how each type of wages are reported and taxed by the various federal and state agencies. Your W-2 will show one or more of the following types of wages:
- Box 3 – Social Security Wages
Wages that are subject to Social Security tax (corresponding to OASDI gross on your paystub).
- Box 5 – Medicare Wages and Tips
Wages subject to Medicare taxes (corresponding to MED gross on your paystub).
Your gross wages for Social Security and Medicare are reduced by “pre-tax” payroll deductions for health insurance, dental insurance, vision insurance, AD&D insurance, NC Flex (dependent care and medical), Health Care Plus and also for pre-tax parking. If your Social Security wages exceeded $117,000; OASDI tax was withheld on the first $117,000 only since this is the maximum amount from which social security taxes could be withheld for 2014. Medicare has no maximum.
- Box 1 – Wages, Tips, Other Compensation
Wages subject to Federal income tax (corresponding to Fed Gross YTD on your paystub).
- Box 16 – State Wages, Tips, Etc.
Wages subject to State income tax (corresponding to State Gross YTD on your paystub).
Your gross wages for federal and state taxes are reduced by the same “pre-tax” payroll deductions as Social Security and Medicare. In addition, deductions for retirement and deferred compensation (annuities) contributions are also deducted.
- Box 3 – Social Security Wages
- Following is a wage base table showing how gross wages for Boxes 1, 3, 5 and 16 on your W-2 are calculated. This corresponds with Q-2 above:
- What do the letters “D”, “E”, “G”, “AA” and “BB” in Box 12 reflect?
NCSU employees may participate in five types of tax deferred annuity programs – Code Section 401(k), Roth 401(k), 403(b), Roth 403(b) and 457. IRS codes are explained on the back of W-2 Form “Copy 2 (File with State, City, and local taxes) and C (Employee’s Record.) Other important information is also documented there. For those employees who opted to print their own Form W-2 via Employee Self Service the information that is usually on the back of the Form W-2 is located at the link titled “Filing Instructions”.
- What is the amount reported with the letter “C” in Box 12 of W-2 Form?
Code “C” is reporting the taxable cost of the group-term life insurance over $50,000. This amount is the imputed income (IMP) that appears on your paycheck. This amount is taxable and is included in boxes 1, 3, 5 and 16.
- What is the amount reported with the letter “DD” in Box 12 of my W-2 Form?
Code “DD” indicates the amount of employer and employee paid health coverage under our employer-sponsored health plan. This amount is not taxable. The purpose is to provide employees with useful and comparable consumer information on the cost of their health care coverage.
- If I did not have any taxes withheld last year; do I still need to file an income tax return?
The amount of taxes withheld does not determine whether or not you should file a tax return. The requirement to file a return is based primarily on the amount earned, citizenship status, dependency status and age. Refer to the section titled “Do You Have to File?” in the federal tax Form 1040, Form 1040EZ, or Form 1040NR instructions for information. The forms are available at your local IRS and NC Department of Revenue offices and on their websites shown below. The University does not stock these individual tax forms. You may also call the IRS at 1-800-829-1040 from 7AM until 10PM at all local time zones for help in determining your filing status.
- I am a US citizen and received a scholarship / fellowship this year. Why didn’t I receive a W-2 Form?
Qualified scholarships and fellowships are non-taxable if (1) you are a candidate for a degree at an educational institution, (2) the amount received is used for tuition and fees required for enrollment or attendance at the educational institution, for books, supplies and equipment required for courses of instruction and (3) the amounts received are not payment for your services.
Generally, the entire amount received is taxable if you are not a candidate for a degree.
Even though you did not receive a W-2 Form, all or part of the proceeds received in your scholarship/fellowship may be taxable. You should review IRS Publication 970 “Tax Benefits for Education” at www.irs.gov to determine which expenses are taxable and which are nontaxable. Taxable expenses such as room and board and other personal expenses, will need to be reported on your income tax return (1040,1040A, etc.) as taxable income. You will need to review the instructions for the tax return form used. You may also wish to make quarterly payments to the IRS for the taxable portion of your fellowship. For more information on scholarships and fellowships, see IRS Publication 970 “Tax Benefits for Education.”If your scholarship / fellowship has a work requirement, taxes must be withheld from your paycheck and a 2014 W-2 will be issued.
- Where can I get information about income taxation or request tax return forms?
IRS Information 800-829-1040
IRS Forms 800-829-3676
IRS Website www.irs.gov
NC Dept of Revenue Information and Forms 1-877-252-3052
NC Revenue Website www.dor.state.nc.us
- Can you fax my W-2 to me?
No, due to confidentiality issues we are unable to fax W-2s.
- Can I download and print my W-2 online?
Yes you can and it is so easy! To access your W-2, go to the “My Pack” portal and click on Employee Self Service. Click on Payroll and Compensation, then on View/Print W-2/W-2c Forms. Click on the link for “Year End Form” under the 2014 Tax Year. This will bring up your W-2 that you can print. Then click on “Filing Instructions” and print this information on the reverse of your Form W-2. Tax forms are available here for printing for tax years 2008 through 2014.
- What if I lose my W-2 or I don’t receive it?
For lost or damaged Forms W-2, employees (including those who left NCSU in 2014) can print a duplicate via the “My Pack” portal on any computer with internet access. If you no longer have access to the “My Pack” portal, you may print a “Request for Duplicate W-2 Form” form located at http://www.ncsu.edu/human_resources/forms/payroll/w2dupl1.pdf. Send completed forms to University Payroll Office, Box 7233 or fax the request to Payroll at 919-515-4320.
Replacements will be issued starting Monday, February 16, 2015. Any requests received before that date will be denied.
Foreign National Employees or Students with Nonresident Tax Status: If a Foreign National employee or student with nonresident tax status received a scholarship/fellowship from NC State University or used a tax treaty to exempt some or all of their wages from federal and state withholding taxes, these amounts will be reported on a Form 1042-S, “Foreign Person’s U.S. Source Income Subject to Withholding.” The individual will receive a Form 1042-S wage/tax statement from the University Payroll Office prior to March 15, 2014. Some individuals will receive both Forms W-2 and 1042-S.
Forms 1099-MISC or 1098-T
All questions concerning Form 1099-MISC (for non-payroll related payments paid to individuals through Accounts Payable) should be addressed to Dwaine Cook in University Accounting at 513-2866.
All questions pertaining to Form 1098-T should be addressed to the Cashier’s Office. They may be reached at 515-2986.
- What is the EIC and how do I find out if I qualify?
EIC is an acronym for Earned Income Credit. You may also see it called ‘EITC’ for Earned Income Tax Credit. EIC is a refundable federal tax credit for working individuals who do not earn much money. If eligible, the tax credit can be claimed when you file your income tax return (EIC). The EIC is not available to nonresident alien individuals or to students who are exempt from social security taxes.
For more detailed information on the EIC:
Use the interactive EITC Assistant at www.irs.gov/eitc to show you if you qualify Call the IRS toll free at 1-800-TAX-1040 Visit a Volunteer Income Tax Assistance site for free help and tax preparation Access Publication 962 on the IRS website. (Both English and Spanish editions are available.)