Tax Withholding discrepency

[MonicaS]

Federal Taxes: Turbo Tax Premiere says the Social Security tax withheld is incorrect. That the amount withheld = $8802.46 but the Correct amount = $6019.10 but then it shows my employer owes me $0.01. If the Amount withheld & the correct amount shown are correct wouldn't my employer owe me $2783.36 ??

[rjs]

How many W-2s do you have?

On each W-2 that you got from an employer, what are the exact amounts in boxes 3, 4, and 7? Look at the W-2 forms from the employers, not in TurboTax.

Do you have more than one W-2 from the same employer?

Does any W-2 have an entry in box 12 with code A or M? If so, what is the amount, and which W-2 is it on?

Are you filing a joint return with your spouse? If so, please answer the preceding questions separately for you and your spouse.

Now look in TurboTax and carefully double check that you entered the amounts from each W-2 accurately. Look for missing, extra, or incorrect digits, misplaced decimal point, etc. If you are filing a joint return, look at the list of W-2s in the W-2 summary and make sure that each one was entered for the correct person - either you or your spouse.

What is the exact error message that you get from TurboTax - the complete message, word for word? At what point do you get the message? Is the message referring to one particular W-2?

Are you using TurboTax Online, or the CD/Download TurboTax software?

[MonicaS]

Thank you so much for your message. As a matter of fact I do have two W2's from the same employer. The info I entered matches the W2s and the exact difference between the Tax Withheld and Correct Withholding is on the other W2. Not sure what the penny shown is all about. I am filing single and I got this message immediately after entering all Federal tax information. I am using the downloaded TurboTax Premier, not a disc.  I am thinking I should disregard but ... nervous when it comes to even a penny on tax filing. Thoughts ? 

[VolvoGirl]

Why did you get 2 W2 from the same employer?  Is the EIN different on them?   Leave the cents of of box 4.

What are the amounts on each W2 for boxes 3 & 4?

[rjs]

@MonicaS 

We really can't evaluate your situation without knowing the exact amounts, including cents, in boxes 3, 4, and 7 of each W-2. (Box 7 is probably empty, but you have to confirm that.)

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@MonicaS wrote:

... nervous when it comes to even a penny on tax filing. Thoughts ?

Don't worry about a penny. Everything on the actual tax return gets rounded to whole dollars. The IRS doesn't bother with pennies.

[MonicaS]

My employer was using Oasis Outsourcing but changed to ADP Total Source mid-year. 

The EIN is different on each of the two W2s.

1st W2: Box 3 = $97,082.31, Box 4 = $6019.10

2nd W2: Box 3 = $44,892.80, Box 4 = $2,783.36

Box 7 is empty or $0 on both. I manually entered into TurboTax. I did not upload...In case it matters.

[MonicaS]

1st W2: Box 3 = $97,082.31, Box 4 = $6019.10

2nd W2: Box 3 = $44,892.80, Box 4 = $2,783.36

Box 7 is empty or $0 on both.

I manually entered into TurboTax. I did not upload...In case it matters.

[VolvoGirl]

Ok, you are under the total max for all W2s,   For 2021 the max for Social Security is $8,853.60 on $142,800 of wages (142,800 x 6.2%).

Try leaving the cents off box 4 on both of them.   One of them is 1 cent too much.

[VolvoGirl]

And make sure the EIN is different.  For some reason people are entering the same EIN on both their W2s.  If the employer name is the same on both enter one a little different.  It won't affect anything.

[rjs · Accepted solution]

The second W-2 withheld 1 cent too much. It should be $2,783.35. You can enter it as $2,783.35. That should get rid of the message, and won't cause any problems. Or just ignore the message.

The message is a little messed up. It should say that the correct amount is $8,802.45. Then the $0.01 would look right. That's a minor bug in the TurboTax display of the message. Just ignore the error.