Information you Should Have about the W-2 form Needed for Taxes
A number of people cannot stand it when tax season comes around. That is because many people experience a lot of stress during this time. This is mainly because they are usually not prepared. It is critical for you to understand all the information regarding the filing of taxes.
Unfortunately, not too many people procrastinate on matters to do with taxes. As an employee, you must have found a form with several tiny boxes in the mail around January or early February. This is a W-2 form and not a bill. Any employer who paid you up to $600 during the year is required to send you such a form.
The W-2 form used to be called the wage and tax statement. Information about your compensation by the employer is detailed in the form. This is a crucial form for many because the information on the form whether you will write a check or get a refund. Below are some things you need to know about the W-2 form.
The form is Necessary for Filing Returns
As you prepare to do your taxes, there are many forms you should know about. Form W-2 is one of the forms you need to know. This form is essential when doing taxes. In the form, you will find information in how much your employer paid you in the past year. On top of this, you get to see how much tax you paid in that year. You need to fill in a lot of details in this form.
Form W-2 Deals With More than Just Payment
Sure, your W-2 form will detail the money you made in tips and wages. Nonetheless, there are other thing detailed in the form. Some other things you might find in the form include retirement fund and health insurance contributions.
The W-2 form is Not a Secret
Employers are required by the law to send copies of the W-2 form to the SSA, and your local tax authorities. This means that if decide that not to fill in the form and exclude the information from your tax returns you will get away with nothing. You will only be adding to your headache by getting several letters from the tax authorities. You may also get some letters from your state if the state has income taxes.
Employers need to furnish the Forms by January 31st
By the 31st of January every employer is expected to have sent the forms to the necessary addresses. That means that all employees need to find their forms at least by the first week in February. Employers only need to create the form using a W-2 form generator online, after which they can mail the forms.