Human Resources

Human Resources

Home > Forms > How to Read Your W-2 Form

How to Read Your W-2 Form

Using the last 2017 payroll statement in C2HR:


There is a W-2 calculator on the HR website to assist you in verifying taxable wages for 2017.

BOX 1: Wages, tips, other compensation

1. Earnings Section

  • Begin with the amount shown as the TOTAL of all Year To Date (YTD) Earnings
    • Subtract the YTD Amount for any earnings listed as “Nontaxable” (Service-Free Stipend, etc)

2. Before‐Tax Deductions

  • Subtract the Total YTD Before-Tax Deductions from the amount calculated in section 1 above. 

 

3. Employer Paid Benefits & Other

If you’re annual salary is greater than $50,000:

  • Add the YTD taxable amount shown as Basic Group Term Life to the amount you calculated in Sections 1 & 2 above.

 The net calculation should be the amount shown in Box 1 of your W‐2. 

BOX 2: Federal income tax withheld

This is the YTD Amount for "Fed Withholding" shown in the "Taxes" section of your final 2017 paystub..

BOX 3: Social Security wages

Box 1 amount plus YTD 403b and 457b Before-Tax Deductions.  The 2017 maximum is $127,200.00 for this box. 

BOX 4: Social Security tax withheld

This is the YTD Amount for “Fed OASDI/EE” shown in the “Taxes” section of your final 2017 paystub. This amount is 6.2% of the amount shown in Box 3. The 2017 maximum is $7,886.40 for this box. VUMC has matched your tax contributions with an equal amount..

BOX 5: Medicare wages

Box 1 amount plus YTD 403b and 457b Before-Tax Deductions. There is no limit on these wages.

BOX 6: Medicare tax withheld

This is the YTD Amount for “Fed MED/EE” shown in the “Taxes” section of your final 2017 paystub. This amount is 1.45% of the amount shown in Box 5.  An additional Medicare surcharge tax of 0.9% on wages in excess of $200,000 was withheld.  VUMC has contributed 1.45% of the amount shown in Box 5.

BOX 7-9: Not applicable for Vanderbilt University Medical Center

BOX 10: Dependent care benefits

Note: This box includes Dependent Care Personal Spending Account deductions.

BOX 11: Not applicable for Vanderbilt University Medical Center

BOX 12: Multiple items may appear in these boxes.

The following codes may appear:

C Taxable Group Term Life — for individuals with VUMC‐provided life insurance amounts greater than $50,000
E Voluntary Contributions to 403(b) — includes all VOLUNTARY employee retirement contributions; Mandatory contributions are NOT included in this amount
P Excludable moving expenses paid by VUMC
T Adoption assistance benefits provided by VUMC
DD Reporting Employer Provided Health Coverage – reporting the cost of medical coverage (employee and employer portions)

Guidelines for other codes that may appear are explained on the back of the W‐2

BOX 13: The following boxes may be checked:

  • Statutory Employee — Not Applicable for Vanderbilt University or Vanderbilt University Medical Center
  • Retirement Plan — this box would be checked if you are enrolled in the Union Pension Plan, or have mandatory or voluntary 403(b) retirement deductions
  • Third Party Sick Pay — Not Applicable for Vanderbilt University or Vanderbilt University Medical Center

BOX 14: Multiple items may appear in this box.

The following items could appear:

  • Taxable Auto — personal use of VUMC provided automobiles\

 

BOX 16-21: State and Local Tax Information

These boxes should be used only for faculty or staff who are residents of, or work in a state where Vanderbilt University Medical Center is a registered employer.


©