Yes, all employers must file a Form W-2 for each employee that they paid during the year. Form W-2 reports the wages, tips, and other compensation that an employee earned during the year, as well as the taxes that were withheld from the employee’s paycheck. Employers must file Form W-2 with the Social Security Administration (SSA) and the Internal Revenue Service (IRS) by January 31st of the year following the year in which the wages were paid. Employees should receive a copy of Form W-2 from their employer by January 31st as well.
Employers who fail to file Form W-2 on time may be subject to penalties from the IRS. The penalties can be as high as $530 per form, per employee.
Here are some of the information that must be included in Form W-2:
- Employee’s name
- Employee’s Social Security number
- Employer’s name
- Employer’s EIN
- Wages, tips, and other compensation
- Federal income tax withheld
- Social Security and Medicare taxes withheld
- State and local taxes withheld
- State unemployment insurance taxes paid
- Federal unemployment insurance taxes paid
- Any other relevant information
Employers can file Form W-2 electronically or by paper. The IRS provides a variety of resources to help employers file Form W-2, including instructions, forms, and publications.