TaxBandits Knowledge Base

What does the box 12 codes on Form W-2 mean?

There are several types of compensation and benefits that can be reported in Box 12 of Form W2. Box 12 will report a single letter or double letter code followed by a dollar amount. The following list explains the W2 Box 12 Codes.

Here are the list of box 12 codes: 

A - Uncollected social security or RRTA tax on tips.

B - Uncollected Medicare tax on tips (but not Additional Medicare Tax).

C - Taxable cost of group-term insurance over $50,000 (included in box 1, 3 and, 5)

D - Elective deferrals under a section 401(k) cash or deferred arrangement plan (including a SIMPLE 401(k) arrangement)

E - Elective deferrals under a section 403(b) salary reduction agreement

F - Elective deferrals under a section 408(k)(6) salary reduction SEP

G - Elective deferrals and employer contributions (including non elective deferrals) to a section 457(b) deferred compensation plan   

H - Elective deferrals to a section 501(c)(18)(D) tax-exempt organization plan

J -  Nontaxable sick pay

K - 20% excise tax on excess golden parachute payments

L - Substantiated employee business expense reimbursements (Nontaxable)   

M - Uncollected social security or RRTA tax on taxable cost of group-term life insurance over $50,000 (former employees only)

N - Uncollected Medicare tax on taxable cost of group-term life insurance over $50,000 (but not Additional Medicare Tax) (former employees only)

P - Excludable moving expense reimbursements paid directly to members of the Armed Forces

Q - Nontaxable combat pay. 

R - Employer contributions for Archer MSA.

S - Employee salary reduction contributions under a section 408(p) SIMPLE plan

T - Adoption benefits provided by the employer.

V - Income from exercise of nonstatutory stock option(s)

W - Employer contributions (including employee contributions through a cafeteria plan) to an employee's health savings account (HSA)

Y - Deferrals under a section 409A nonqualified deferred compensation plan

Z - Income under a nonqualified deferred compensation plan that fails to satisfy section 409A                       

AA - Designated Roth contributions under a section 401(k) plan

BB - Designated Roth contributions under a section 403(b) plan

DD - Cost of employer-sponsored health coverage

EE - Designated Roth contributions under a governmental section 457(b) plan

FF - Permitted benefits under a qualified small employer health reimbursement arrangement

GG - Income from qualified equity grants under section 83(i)

HH -  Aggregate deferrals under section 83(i) elections as of the close of the calendar year