I'm looking to understand the total yearly income from a W-2. Is for example the Soc Sec wages (#3) the exact indicator?
2007-05-04 11:33:17 · 5 answers · asked by Shauno 2 in Business & Finance ➔ Taxes ➔ United States
Box 1 is gross earnings less pre-tax items like 401K or health care. The social security wages is usually gross earnings, since social security gets taken out of all your earnings including pre-tax items. If you're over the total limit for the year though to pay into social security, then medicare earnings might be different than ss earnings - medicare earnings would be your total gross earnings.
2007-05-04 11:42:32 · answer #1 · answered by Judy 7 · 3⤊ 0⤋
Depending on the adjustments from your wages, its possible for boxes 1, 3 and 5 to not be your total gross. If you have a pre tax S125 plan, it would effect ALL three boxes including your social security wages (box 3). The best bet if you are unsure of the taxablity of your deductions is to use your last pay stub of the year to determine your total gross compensation.
2007-05-05 14:50:13 · answer #2 · answered by VR6Luver 2 · 2⤊ 0⤋
total gross income should be on line 5 of W2. This is the income you should report as your gross earnings for whatever reason you may need to report total gross earnings. For some types of W2 earners, state income differs from federal and medicare wages earned. (this doesn't mean this is all of your income though - some people get paid under the table)
2007-05-04 12:17:56 · answer #3 · answered by number50lq2 1 · 1⤊ 0⤋
Box 1 is the exact gross earnings you made in total. Box 3 is just Soc Sec. and may not be the TOTAL gross income. Box three can contain deductions etc.
2007-05-04 11:38:38 · answer #4 · answered by Jen 5 · 1⤊ 2⤋
yea, the 1099 B you received probably only reported 'proceeds' meaning the money derived from the sale of the stocks it isn't reporting your purchase price and dates, some of which might be short term you will have to show each sale, the proceeds, the purchase price and date to determine your gain or loss, and short or long term you need to keep good records of your purchases if your 'house' doesn't and if you move 'houses' they the new one will not have your previous information about your purchases i have two clients who move back and forth and it is important to know the purchase prices and dates
2016-05-20 22:20:39 · answer #5 · answered by ? 3 · 0⤊ 0⤋