How to Avoid W2 and W3 Form Errors

Article by Lisa Heather

The fourth quarter of the tax year brings around the time to start preparing for end of the year wage reporting. Being organized and primed for this time of the year alleviates unnecessary last minute stress and mistakes. The IRS and SSA host a Small Business Seminar for both paper filers and/or electronic filers. Business owners should plan on attending the seminar for valuable information on reporting wages and taxes and to receive the latest electronic filing instructions.

SSA asked employers to abide by a few guidelines when generating W2 and W3 forms. Keep your entries inside the boxes, use dark ink, do not erase or use white out on the form they also do not require the dollar sign to be printed in the box.

W2 Box a – Employee’s nine digit Social Security number

W2 Box b – Employer’s nine digit identification number

W2 Box e – Employee’s name as shown on Social Security card and address

W2 Box 1 – Regular wages, tips and compensation

W2 Box 3 – Social Security wages, do not exceed maximum wages for the year

W2 Box 5 – Medicare wages, there is no limit on Medicare wages

W2 Box 7 – Tips paid

W3 Box b – This box must always be completed

W3 Box c – Show the total number of W2 forms included with this W3 form

W3 Boxes e, f, g – Position the label provided by the IRS in Publication No. 393 or enter EIN, employer’s name and employer’s address

W3 Box h – Show any other EIN number used during the tax year

This is a list of commonly used or required boxes on the W2 and W3 forms. Employers may be required to fill in additional boxes depending on their circumstances. Remember both the IRS and SSA websites can be very informative.

In October you can order W2 and W3 forms. You can order paper forms or W2/W3 form printing software. By November the IRS will mail tax forms and IRS Publication No. 393 with a label identifying you as an employer. The label includes employer’s name, address and EIN, affix the label over Boxes e, f, g on the W3 form. For employer’s that file electronically you will receive the Magnetic Media Reporting and Electronic Filing booklet (MMREF-1). Before December your employees should update their W-4 and W-5 (Earned Income Credit Advance Payment Certificate) forms.

Before you actually file your wage reports you should balance your 941 form to your W3 form for the tax year. Annual amounts from payroll records should match the total amounts reported on all 941 forms for the year; the total amounts reported on all 941 forms for the tax year should match the sum of the same data fields shown in the W3 totals. To help you with balancing your records the SSA has prepared two worksheets. The first is a worksheet for the W3 form, the second is a worksheet for the fourth quarter 941 form. If you would like to use the worksheets to help you match your total amounts you can request a paper copy of the Employer’s Guide from SSA.

Strictly adhering to IRS and SSA guidelines and filing dates is the number one way to avoid errors and fines. Payroll software that automatically calculates Federal, Medicare, Social Security taxes and populates W2/3 and 941 forms lessens the tendency to make manual calculation errors. Try a nice small business software:Payroll Mate

Lisa Heather, small business owner, provides insightful tips into payroll software. You may also visit payroll blog for more payroll information. Payroll Mate is an affordable and easy to use payroll solution.










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Common Home Remodeling Errors

Since all of us cannot afford to buy a new house every now and then, remodeling makes for a great concept. If you too are remodeling your house, then there are a handful of errors that you need to avoid. Steering clear of these mistakes will make certain that you remodel your house in the finest possible manner.

Not doing enough research is one of the most common mistakes that homeowners tend to make while remodeling their house. You ought to research not just about the home that you have bought but also about the remodeling trends. There is no point in remodeling your house as per outdated trends. Research is always of superb importance, whether you are remodeling your house or deciding on an anti acne product. If you do a little bit of research, you will find that it is only a few products such as the Zenmed Derma Cleanse System which are actually effective.

The subsequent in line error that you need to maintain safe distance from is opting for the wrong contractor. Just like your chances of weight loss or weight gain are considerably determined by the sort of treadmill that you use, the look of your remodeled home depends on the contractor that you hire for the role. So, make complete enquiries about the credentials of the contractor ahead of hiring him. Request customer referrals before selecting the right one for the task. Also, look at his success rate in the previous few projects that he has finished.

Another usual mistake in this regard is paying attention to just the present remodeling requirements of the house. However, in case you wish for an appropriate remodeling, best is to keep the future needs into attention first. While you might be interested in converting the basement of the house into play area for your children, little do you realize that the area will be redundant when young ones grow up. So, it would be a wise decision to install pool lighting in the room. This will help you convert the play area into a pool area once your kids move out. The finest part is that you’ll not need to spend again to make the necessary alterations.

Yet another mistake that a lot of people make while remodeling their house is not looking after niche needs. You may have an old member in the house who would need support in the form of door handles while walking. Or, you might have a blind family member, who may find it complicated to walk through cluttered furniture. These niche requirements ought to be looked after when remodeling your house. A bit of attention to detail is all that is needed here.

Stay clear of these errors and the money spent on remodeling the home will be more than just worthwhile.

Here are a few more ways to know about Type Of Treadmill and Zenmed Derma Cleanse System.