Clients W2 does not show his 401k contribution

[Terry53029]

His pay stubs show he has been making contributions, and taxed after the contribution. My question is what happens on the employers W-3 ? if the W2 amounts are shown, then the SS, and medicare tax withheld is wrong. Advice on how to correct, or should I just let client know. It does not affect his tax return.

[IRonMaN · Accepted solution]

Sounds like a W-2c is in order.  Are taxable wages on the W-2 the same as the Social Security and Medicare wages?

[Terry53029]

Thanks Ironman for the quick reply, and yes all are same on W2, but paystub shows SS, Medicare on gross. Year end on pay stub and W2 do not match

[IRonMaN]

Sounds like a W-2c is in his future.

[Just-Lisa-Now-]

Maybe its a ROTH 401k?  NO codes in Box 12?

[Terry53029]

No Roth

[sjrcpa]

401(k) contributions are subject to SS and Medicare taxes.

[IRonMaN]

But taxable wages shouldn't agree with SS and Medicare wages if they made a retirement plan contribution.

[sjrcpa]

Correct - unless it was a Roth 401k contribution. Box 12 should have codes in it for the contribution.