W-2c because of deferred payments when I did not defer payments?

[DianeW777]

You did not defer anything.  Your employer was allowed to defer this tax.

Check the amounts in box 3 of your W-2 and the amount in box 4.  Box 4 should be 6.2% of Box 3. 

Review the IRS Notice 2020-65 which explains more about this topic.

To Employers: 

If you deferred the employee portion of Social Security tax under Notice 2020-65, when reporting total Social Security wages paid to an employee on Form W-2, Wage and Tax Statement, include any wages for which you deferred withholding and payment of employee Social Security tax in box 3 (Social security wages) and/or box 7 (Social security tips). However, do not include in box 4 (Social security tax withheld) any amount of deferred employee Social Security tax that has not been withheld.

To Employees:

If you had only one employer during 2020 and your Form W-2c, Corrected Wages and Tax Statement, for 2020 (if you get one later), only shows a correction to box 4 (or to box 14 for employees who pay RRTA tax) to account for employee Social Security (or Tier 1 RRTA tax) that was deferred in 2020 and withheld in 2021 pursuant to Notice 2020-65, no further steps are required. 

This does not affect your tax return, only your social security account. For most employees no action is required.

[SteamTrain]

There is a BUG in this calculation in the software, and it is supposed to be fixed by this Friday, 26 Feb.

As long as your box 4  ( both n the software and on your actual W-2) is 6.2% of box 3, then you are OK.

You can ignore it in any case...it is just a misdirected, but "supposedly helpful" message that does not change anything in your file...

Ignore it and move on, or wait until Friday and check again then.

[Claudia1213]

As it turns out, my employer DID underwithhold my SS taxes, by $6.51. So this is not due to a bug in TurboTax. The IRS announced in August 2020 that employers could defer Social Security taxes from Sept. through Dec. 2020, so that is what my employer did, unbeknownst to me.  It was an employer action, not an employee one. But the deferred taxes have to be paid back throughout 2021. Since I no longer work for this employer, I called them and they said I would receive a bill in August for the amount due. Luckily for me, it is not a lot of money. Others may be less fortunate. 

[mulligan2021]

I am going through the exact same thing!! This is the first year that I have been told we didn't pay the taxes for this W-2 showing life insurance payment as part of my pension.... non taxable income because it is apart of pension.  Have you received any answer from Turbo experts yet? Please let me know if you do!

There is no available space to let them know that this W-2 is pension money not earned income. I always have written out the explanation and included it with the returns.    It has been 20 years and still we have problems. Crazy frustrating!!