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FAQ4 min readMar 17, 2026
How to Read Your W-2 Form
Your W-2 form contains a lot of information. Understanding each box helps you file accurately and spot potential errors from your employer.
How to Read Your W-2 Form
Box 1: Wages, Tips, and Other Compensation
Your total taxable wage income. Does NOT include pre-tax deductions (401k, health insurance, FSA contributions).
Box 2: Federal Income Tax Withheld
Total federal income tax your employer sent to the IRS on your behalf.
Boxes 3 and 4: Social Security
- Box 3: Wages subject to Social Security (capped at $176,100 in 2025)
- Box 4: 6.2% Social Security tax withheld
Boxes 5 and 6: Medicare
- Box 5: Wages subject to Medicare (no cap)
- Box 6: 1.45% Medicare tax withheld (+ 0.9% if Box 5 exceeds $200,000)
Box 12: Special Compensation
Codes indicate various types of compensation and benefits:
- D: 401(k) contributions
- DD: Employer-paid health insurance (not taxable to you)
- W: HSA contributions by employer
- AA: Designated Roth 401(k) contributions
Box 13: Checkboxes
- Retirement plan: Affects IRA deductibility
- Third-party sick pay: Disability pay not from your employer
Box 14: Other
Employer-provided information like state disability insurance, union dues, or health insurance premiums paid by you.
Boxes 15-17: State Tax Information
- Box 15: State and employer state ID
- Box 16: State wages
- Box 17: State income tax withheld
See something odd on your W-2? Contact your employer's HR department, and let us know if you need help resolving it.