What is line 12a Code DD on W-2 form?

Individuals (employees) do not have to report the cost of coverage under an employer-sponsored group health plan that may be shown on their Form W-2, Wage and Tax Statement, in Box 12, using Code DD. This reporting is for informational purposes only, to show employees the value of their health care benefits.

Is code DD on W-2 deductible?

The amount shown on your W-2, Box 12, using Code DD, represents the of the cost of pre-tax employer-sponsored health coverage, and is for your information only. The amount reported with Code DD is not taxable, but neither can it be claimed as a tax deduction (medical expense) by an individual taxpayer.

What is 12a and 12b on W-2?

Upper-case (capital) letters in Box 12 stand for different things: • A and B: Uncollected social security and Medicare tax on tips. This. amount represents the social security and Medicare tax on the tips you reported to your employer.

What does 12a D mean on W-2?

D : Contributions to your 401(k) plan. DD: Cost of employer-sponsored health coverage. More info. E: Contributions to your 403(b) plan. EE: Designated Roth contributions under a governmental section 457(b) plan.

How does code DD affect my taxes?

Box 12 amounts with the code DD signify the total cost of what you and your employer paid for your employer-sponsored health coverage plan. Code DD amounts are for informational purposes only — they don’t affect the numbers in your tax return.

What is included in code DD on W-2?

Many employers are required to report the cost of an employee’s health care benefits in Box 12 of Form W-2, using Code DD to identify the amount. It is included in Box 12 in order to provide comparable consumer information on the cost of health care coverage. …

What is Box 12a code C on W-2?

Box 12 with a code c is the taxable cost of group-term insurance over $50,000. If you had group term life insurance through your workplace, the premiums for any value over $50,000 become taxable income to you and are included in box 12. Enter your W-2 form with the box 12 code C in your tax return.

What does DD in box 12a mean?

Is FSA reported on W-2?

Health Flexible Spending Accounts (FSAs) Generally health FSAs are not required to be reported on an employee’s W-2. The exception to this rule is when an employee’s deductions for all benefits are less than the amount elected for the health FSA.

What is D and DD on W-2?

Code DD is only information to you to tell you how much your employer spend for health coverage – you do nothing with it. Code D is the amount of salary deferrals to a 401(k) plan. You do nothing with than either other than enter it on the W-2 screen in box 12 just like it is on the paper W-2.

Does Box 12 on W-2 affect taxes?

This is informational only — it doesn’t affect your taxable income.

What does the code “DD” on the W-2 form box 12A mean?

The code DD in the Box 12a of your W-2 means the Total cost of employer-sponsored group health plan. Reporting it doesn`t mean its taxable but required under Affordable Care Act.

What does 12DD mean on your W2?

Many employers are required to report the cost of an employee’s health care benefits in Box 12 of Form W-2, using Code DD to identify the amount. This amount is reported for informational purposes only and is NOT taxable. It is included in Box 12 in order to provide comparable consumer information on the cost of health care coverage.

What does DD mean on W2 in Box 12?

The amount shown on your W-2, Box 12, using Code DD, represents the of the cost of pre-tax employer-sponsored health coverage, and is for your information only. The amount reported with Code DD is not taxable, but neither can it be claimed as a tax deduction (medical expense) by an individual taxpayer.

What does DD mean on W 2?

DD means employer-sponsored medical plan. The benefit amount is currently not taxable. This code is explained on the reverse side of your W-2. That amount implies you have a wife and one or more children.