You will enter the NY line of your W2.  Box 16 should match your federal box 1 wages, box 17 should be the income tax withheld for NY. 

NJ as your resident state will be taxing you on all income from all sources so the only reason to enter a W2 line for them is if they withheld any taxes.  You do not need to enter a NJ line since they did not withhold anything.  This is typical.

NY will tax you on NY source income.  After entering your federal information you should complete your non-resident NY return next and take note of the taxes paid to NY. 

When you complete your NJ return be sure to visit the credit for taxes paid to another state topic.  NJ will give you a credit for taxes paid to NY on the same income. 

Thank you for your response! I was able to follow your instructions, however, when I go the topic for credits taxed in other states after doing my NJ taxes, when you say to "take note of taxes I paid to NY", is the amount titled: "Taxes withheld" in my NY tax summary? When I go to "review my numbers" for NY taxes, first is listed the Income section then the Taxes section, with sections for "Starting amount", "NY Income Factor", "Allocated nys tax" "money they gave you back' and "money you already gave them" with state tax withheld as the number listed under this final category.....is the state tax withheld the number you say I should take note of as taxes I paid to NY?

The allocated NYS tax is the tax actually paid to NY.  That is the number to use in the NJ interview.