CPAs/W-2 preparers – How are y'all reporting overtime wages/premium on W-2s for 2025? Our firm is trying to figure out our best route. We use a payroll software and QuickBooks to prepare W-2s. Happy busy season!
How are we reporting overtime on W-2s?
byu/Hot_Interview9561 intax
Posted by Hot_Interview9561
4 Comments
Following….
You’re aware of new form Schedule 1A?
[https://www.irs.gov/pub/irs-pdf/f1040s1a.pdf](https://www.irs.gov/pub/irs-pdf/f1040s1a.pdf)
I suspect those entries are going to be rather difficult to accurately determine if it’s not broken out on the year-end paycheck. A lot of this will be on client’s honor…
Not required to be on W2 this year (can be a separate statement) but I expect many places will put it in Box 14.
Unfortunately we are in a state that has OT provisions that do not match the FLSA rules, so It is a manual export of all staff hours, subtotaled by week, and hours exceeding 40 are multiplied by 50% of their wage – all in a single page excel statement provided with their W-2.
For next year it is turning ugly, as we now have to track Qualified OT, Non-Qualified OT, and a differential for qualified but limited doubletime separately as we enter into the payroll software.