What is Box 14 on W-2

Form W-2 is the Wage and Tax Statement every employer needs to file for each employee. When filing the form, Box 14 is a section that employers need to report certain information. If you’re reporting income or payment other than what’s reported on the boxes, you’ll need to enter it on Box 14 using the relevant code for the type of payment.

To summarize, Box 14 reports a payment or income paid to an employee that doesn’t have a designated box on Form W-2, Wage and Tax Statement. The Internal Revenue Service wants every payment made to an employee to be reported on Form W-2 but it isn’t like on Box 12. For example, employee reimbursements for business expenses are not taxable. So, they don’t count towards wages, thus, they aren’t taxable. Nevertheless, it must be reported on Form W-2. To indicate the type of payment it is, you’ll need to report it on Box 12 with the code that responds to it. With Box 14, it’s different. It reports types of payments that fall outside of what’s reported on Box 12.  

What codes to enter on Box 14?

There aren’t really any code for the types of payments that are reported on Box 14 W-2. Instead, write down the following types of payment and the money amount.

  • Charitable contributions made through payroll deduction
  • Educational assistance
  • Health insurance premiums deducted
  • Long-term disability
  • Nontaxable income
  • Union dues
  • Work clothing payments

To indicate the payment, you can enter “UD” instead of union dues as the space on each box is limited. Make sure that you’re writing down everything as readable as possible. If you’re filing the form electronically, you shouldn’t have a problem though.

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