The title is the question. On my 2009 W-2, Box 1 (Wages, Tips, other comp) is much higher than Box 3 (Social Security wages) and Box 5 (Medicare wages & tips).
Also: can you file with wage numbers that contradict W-2? What happens if you do?
In every other past W-2 of mine, both at this job and at others, the W-2 figures in Boxes 1, 3, and 5 always matched. Are there any common reasons this could happen? I’m in a regular 9-5 office job, on hourly – no commissions, tips, or bonuses to worry about. Straight hourly salary.
Important to note:I am not going on a hunch – I have corroborating evidence from my pay stubs that the Box 3 and 5 figure from my 2009 W-2 should also be in Box 1. Since today is already the 15th, I have already decided to e-file with a Box 1 figure that contradicts the current erroneous W-2 that I’ll mail in. I plan to submit a corrected W-2 to the IRS in a few weeks.
Has anyone else ever dealt with this kind of thing in the past? TIA
They don’t have to match if you have income that is exempt from FICA. There are a number of such exemptions, the most common of which is that your income exceeds the cap. But there are also exemptions for church word, educational employment, and probably others. It is possible there is a new exemption, or your employer has discovered an existing exemption.
No church or educational work issues. Also, no 401-K issues.
Could be something brand-new. I have checked with my employer about this issue, but I only discovered the issue today – they aren’t going to be able to research the issue and turn out a new W-2 before COB.
So, unless filing after April 15th is kosher without an extension request … I’ll just have to gamble a bit and file with numbers I believe to be right, even if they contradict the W-2. If I’m wrong, I’ll pay the difference.
Might be able to get an extension, but I’m a little under the gun. Probably easier to send in a “messed up” return (with the corroborating evidence that I’m correct and my W-2 is not) and then clean up any mess afterwards. With an amended return if necessary.
You can get an extension. you don’ t need any reason at all to get a six month extension, you just have to fill in a form an mail it in. You will not then be hit with a failure to file penalty. You do however have to pay an amount equal to what you think you will owe. If you underpay, you will owe interest on the underpayment. The interest rate is fairly low (0.5% per month currently I think). The failure to file penalty is more like 15% of the amount owed.
I’m sure you can go to any number of online tax-preparation sites and file a request for an extension. Be sure to file for a state extension as well. I believe most states will automatically grant you one (if you ask) without any need to show cause other than you filed for a federal extension.
If you are contributing to a 401(k) or have other pre-tax deductions, such as a flexible spending account for medical or child-care expenses, these amounts will not be included in Box 1, but will be included in Boxes 3 and 5. This is not an unusual situation, and is perfectly normal.
Thank you for your response. I found references to this onlilne as being cases in which Boxes 1, 3, and 5 don’t match. None apply to me, however.
Thankfully, the figure in Box 1 will not determine how much I owe – I will be getting a refund in any case. What I was concerned about, though, was getting a refund and then having to pay some of it back to get square with the IRS. Alternatively, my refund may be delayed as the IRS attempts to get information from me in the near future to reconcile the discrepancy between W-2 wage information and what I submitted on the 1040.
I sent the IRS copies of my corroborating pay stubs, and a short note that explained my case. I expect to get a corrected W-2 within a few weeks, and I will forward a copy of that on as well.
Tangential observation: I’ve never worked anyplace that that wouldn’t be an oxymoron. In my experience, getting a salary is the opposite of working hourly.