W2 Box amount are different....is this correct?

[soulwinner10]

Hello,

On my W2 in question, box 1 (wages) is $6,063 more than box 3 (social security wages). In the previous year, for the same employer, the amounts in those boxes were the same. What is the reason for this? Does the social security have a cap amount?

Thank You.

[MindyB]

Yes, the Social Security amount does have a cap. ‌For 2024, that was $168,600.  

For more information, see COLA increases for dollar limitations on benefits and contributions and refer to "taxable wage base" for the cap in the current and recent years.

[soulwinner10]

Okay, so, then would that be the reason that box 1 is more than box 3 (box 3 is at its max amount) and anything above the $168,600 would continue as federal tax (box 1). Thank you.

[KeshaH]

Yes, if your income was more than $168,600, your box 1 income will be higher than your box 3 income.