It stands for Fair Labor Standards Act overtime. You can choose the option for overtime in the dropdown for box 14.
To enter your overtime in TurboTax Online, follow these steps:
1. Go to the Income section and start or edit your W-2.
2. Enter your W-2 exactly as it appears; if overtime is in Box 14, enter the description and amount, then select Overtime from the category dropdown on the following screen.
3. Confirm that the amount is just the overtime premium (the half in time-and-a-half). If it is not, you will have the opportunity to adjust in the interview following the W-2 entry.
To qualify for the overtime deduction, you must meet these requirements:
- You must be a non-exempt employee who is eligible for overtime under federal law (FLSA).
- Your filing status cannot be Married Filing Separately.
- Your modified adjusted gross income must be below $150,000 or less ($300,000 for joint filers) to be eligible for the maximum deduction, If your income is over $150,000 ($300,000 for joint filers), then the deduction begins to reduce by $100 for each $1,000 of MAGI over the applicable threshold amount. Once your MAGI hits $275,000 ($550,000 for joint filers), the overtime deduction is not available.
- The pay must be for hours worked over 40 in a single workweek, and only the overtime premium (the extra "half" in time-and-a-half pay) is qualified for the deduction.
Here is an article you may find helpful: No Tax on Overtime Explained: Qualified Overtime Deduction Rules for 2025
