How to Process Corrected W-2's

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tenalea
Posts: 22
Joined: Mon May 15, 2006 4:39 pm
Location: Beaumont, TX

How to Process Corrected W-2's

Post by tenalea »

Hi, I need help with how to process corrected W-2's.

While I was working on my personal income tax return I received a message that my employer had taken out too much social security taxes and that I needed to ask them for a refund and a corrected W-2. :shock:

I went back to my records and at the beginning of 2022 I had checked the box to "round" the taxes on social security and medicare. When I processed the first quarter 941, I noticed that the tax amount was off by around $30. I thought this was too much for rounding so I went back in the middle of quarter 2 and unchecked the rounding boxes. The second quarter was off by around $8 and the remaining quarters were only off by the fractions of cents. So overall for the year my social security and medicare taxes were off by +-$40.

When I processed the 941 reports for the first and second quarters, I put the differences in the adjustment section. Since I did that, my quarterly reports do balance with my W-3. However, I think I may have done this incorrectly. I didn't realize that somehow I should have adjusted each employee's social security and medicare taxes. I still don't know how to fix this. :wall:

I'm concerned that all of my employees social security and medicare taxes paid are off. It's probably only a small amount, but they still will be overpaid or underpaid.

If anyone has any advice on the best way to fix this, I would really appreciate it. I'm trying to figure out if I need to do corrected 941's for the first and second quarter and then corrected W-2.s

How does PowerChurch issue a corrected W-2 and 941 reports?

Thanks!
Tena

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