The W-2 is not correct. Point out to the accounting department that the IRS instructions for Form W-2 (page 19) say the following.
"Report distributions to an employee from a nonqualified plan or nongovernmental section 457(b) plan in box 11. Also report these distributions in box 1." [bold added]
If the amount in box 11 is also reported in box 1, box 11 cannot possibly be larger than box 1.
