Officer's Health Insurance Premiums on W-2
Posted: April 29th, 2013, 6:48 pmTo make officer's insurance premiums show in (Wages) Box 1 on the W-2, you need to make an EOY adjustment to US FIT - Earnings subject to (no ceiling). This entry has no effect on the GL, it just adds the amount into the W2 Wages Box.
1. Start Prior Year Adjustments if you have started payroll for 2012. Otherwise, use Employee Adjustments. In either case, on the adjustments screen, verify that it says: Payroll Year 11, Month 12
2. For each employee, make an entry for US FIT – Earnings subject to (no ceiling)
3. Print W2s or W2 information to verify that your changes are correct.
Going forth for 2012
For each employee, configure a non-cash benefit for the insurance premium amount per pay period. This amount will be automatically added into the US FIT – earnings subject to (no ceiling) and you will not have to make adjustments at the end of the year to make the W2s be correct.
For payrolls already completed in January, make an Employee Adjustment for the earnings subject to FIT that have already accumulated (as described above) AND to the non-cash benefit.
Set Earnings Subject to US FIT. Set the non-cash benefit to show on the W-2 Other Information Box if desired.
1. Start Prior Year Adjustments if you have started payroll for 2012. Otherwise, use Employee Adjustments. In either case, on the adjustments screen, verify that it says: Payroll Year 11, Month 12
2. For each employee, make an entry for US FIT – Earnings subject to (no ceiling)
3. Print W2s or W2 information to verify that your changes are correct.
Going forth for 2012
For each employee, configure a non-cash benefit for the insurance premium amount per pay period. This amount will be automatically added into the US FIT – earnings subject to (no ceiling) and you will not have to make adjustments at the end of the year to make the W2s be correct.
For payrolls already completed in January, make an Employee Adjustment for the earnings subject to FIT that have already accumulated (as described above) AND to the non-cash benefit.
Set Earnings Subject to US FIT. Set the non-cash benefit to show on the W-2 Other Information Box if desired.