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The box 5 amount is only 5$ more than the box 16 amount A common example is contributions to a 401 (k) plan. I don't participate in 401k
Turbotax is asking me to include a w2 copy and an additional statement with my return How is that possible?certain amounts that are taken out of your pay are not subject to federal income tax, so they are not included in box 1, but they are subject to social security and medicare taxes, so they are included in boxes 3 and 5 I'm not sure what to put in this additional statement
Box 1 would show $24,500 since $5,500 is not being taxed
Boxes 3 and 5 would show the full $30,000 since your total wages are subject to social security and medicare taxes However, boxes 3 and 5 are most often the same and box 1 can be lower than 3 and 5. Implies i'll be taxed incorrectly on my hsa contributions. Turbotax uses the irs worksheet to do the calculation
The additional medicare tax is calculated on form 8959 The allowable limits by filling status are This differs from your gross earnings because there are certain deductions that reduce your medicare taxable wages, such as pretax medical/dental and vision insurance, and fsa medical and dependent care.
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