Is NJ sick hour/day earned taxable? Regular wage is paid for the sick hour/day, regardless of the cause for absence.

[kevinadol]

The NJ sick hour/day is earned by regular working hours.

[Vanessa A · Accepted solution]

Yes, sick pay is included in your regular wages as taxable income for NJ and federal income as well. 

[kevinadol]

Hi Vanessa A,

Thank you for the information. In filing state tax using turbotax, in the section "Payments Due to Injuries or Sickness", it says:

You do not need to include the following in your New Jersey wages:
- Wages paid as a result of injury or sickness

Is NJ sick hour/day earned by regular working hours the wages paid as a result of injury or sickness, which I don't need to include it in my New Jersey wages?

Thank you for your time and help.

[Vanessa A · Accepted solution]

That statement is for accident or health insurance exclusion.  Your regular sick pay that you can take at your discretion is still considered taxable income. 

An employee of Company X is allowed 12 vacation days and 15 sick days for the calendar year. The employee uses 12 vacation days and 10 sick days in the calendar year for which he or she receives his or her regular wage payment, regardless of the cause for his or her absence. The amounts received by the employee in the calendar year for the 12 vacation days and 10 sick days are subject to tax as wage and salary income to the employee and the employer must also withhold Gross Income Tax on such payments. Form 2440