Common questions about individual New Jersey allocation of wages in Lacerte

Below are solutions to frequently asked questions about allocating New Jersey nonresident wages in the Individual module of Lacerte.

Allocate wages to New Jersey for nonresidents

1. Go to Screen 10, Wages, Salaries, Tips. 
2. Scroll down  to the State and Local section.
3. Enter the NJ wage amount or 1=all in field Wages allocate to NJ (1=all, nonresident returns only).
4. Go to Screen 10, Wages, Salaries, Tips. 
5. Scroll down  to the State and Local section.
6. Enter the NJ wage amount or 1=all in field Wages allocate to NJ (1=all, nonresident returns only).

Allocation between New Jersey and a state with no income tax (ex. Florida, Texas)

Client with individual NJ part year resident that has income earned in NJ, cannot allocate the wages to NJ properly.

1. Navigate to Screen 10 Wages, Salaries, Tips.
2. Select Wages from the section list on the left side of the screen.
3. In box 1 Wages, Tips, Etc(Ctrl+E If Multi state), click on the supporting detail icon to the right.
4. Enter the amount of New Jersey wages in the amount column, and 'NJ' in the state column.
5. On the line just below this entry, enter the amount of the other state wages in the amount column and 'US' in the state column.
6. Click OK. You should have the total of these two amounts showing in the wages box #1.
7. Click the Forms tab and go to the New Jersey 1040NR. You can now see that the total carries to the federal amount column, and the New Jersey income carries to the new Jersey column respectively.

Related Topics:

• Allocating W-2 Wages and Withholdings for Multi-State Return