Who receives a W-2 Form?

Employers must issue a W-2 Form to full-time or part-time employees who've earned $600 or more in non-cash payments for services performed during the calendar year. This applies to employees subject to tax withholdings, including Medicare, Social Security, and income tax. Independent contractors don't receive a W-2 Form because they're self-employed and don't get payroll taxes withheld on their behalf.

How is a W-2 Form filed?

Employers are required to submit a W-2 Form to the Social Security Administration (SSA) annually, electronically or by mail. The form must include the total income and the federal, state, and local taxes withheld. Employers must also provide employees with a copy of their W-2 to file. SSA filing and W-2 distribution to employees must be done by January 31 each year.

What do employers need to verify before issuing a W-2 Form?

Employers must verify the employee's full legal name, address, and Social Security number (SSN). The Social Security Number Verification Service can confirm that the name matches the Social Security number before issuing a W-2 Form. Employers are also responsible for accurately recording wages, tax deductions, fringe benefits, and additional payments on the form.