Important
2013 W-2 Changes
(As of March 18,
2013)
W-2
$2,500 limit
on health Flexible Spending Arrangement (FSA)--For
plan years beginning after December 31, 2012, a cafeteria plan may not allow an
employee to request salary reduction contributions for a health FSA in excess
of $2,500.
Additional
Medicare Tax—Beginning January 1, 2013, an employer is required to withhold
a 0.9% Additional Medicare Tax on any Federal Insurance Contributions Act
(FICA) wages or Railroad Retirement Act (RRTA) compensation it pays to an
employee in excess of $200,000 in a calendar year. An employer is required to
begin withholding Additional Medicare Tax in the pay period in which it pays
wages or compensation in excess of $200,000 to an employee and continue to
withhold it until the end of the calendar year. Additional Medicare Tax is only
imposed on the employee. There is no employer share of Additional Medicare Tax.
All wages and compensation that are subject to Medicare tax are subject to
Additional Medicare Tax withholding if paid in excess of the $200,000
withholding threshold.
Employee
social security tax withholding—The rate of social security tax
withholding (for employees only) is restored to 6.2% for wage payments made
beginning in 2013.
At
TaxCalc USA, we sell W-2 forms and form envelopes. Call us at 1-866-929-2252 to place an order,
or visit our website www.TaxCalcUSA.com for more information.
No comments:
Post a Comment