The W2 Report module creates a report used for reporting W2 wage information at calendar year end.
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Please follow your CYE checklist to securely email your W2, Ohio, City, CCA, RITA and State submission files to your ITC.
Option for employees to receive a digital copy (email) of their W2
Districts will have the option for their employees to receive a digital copy of their W2, by going to Configuration>W2 Configuration>Enable W2 Digital Delivery and checking, 
Click here for further instructions and setup.
Include only last 4 digits of SSN on W2 forms and XML
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Option to NOT allow districts to submit Own W2 Files
Option to allow districts to submit Own W2 Files
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IF YOU NEED TO BEGIN JANUARY PAYROLL PROCESSING BEFORE COMPLETING W2 PROCESSING, Leave December reporting period Open and create your January reporting period through Core/Posting Period and make that Current. |
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- Report - will be sorted in Medicare/Non-Medicare order, then sorted by sort order selected in the input screen.
- Submission (Creates submission file as a .txt) - will be sorted in Medicare/Non-Medicare order, then sorted by sort order selected in the input screen.
- Forms - NOT in Medicare/Non-Medicare order (just the sort order selected in the input screen).
- XML - NOT in Medicare/Non-Medicare order (just the sort order selected in the input screen).
Creating a W2 Report
The Save and Recall option 
allows the users to create and save certain reports 
for different report runs for each report option. The Default option is the original SSDT report and the Most Recent is the last report that was ran by the user. If the report is no longer needed, click on 
to delete the report. The Default reports cannot be deleted.
Format - Output format desired. Default is PDF. The Format selected here, will follow over to the Submission 'Format For Summary Reports' and vice versa.
- PDF (download)
- Comma Separated Values (CSV)
- Plain Text
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- Employee SSN
- Employee Name
- Building/Department and Employee Name
- Building/Department, Pay Group and Employee Name
- Pay Group
- Zip Code and Employee SSN
- Zip Code and Employee Name
- Check Distribution and Employee Name
- Digital Only W2 (will only show if W2 Configuration>'Enable W2 Digital Delivery' is checked)
- Non - Digital Only W2 employees are listed first, followed by employees receiving Digital Only W2.
Report for Year - Select reporting year from available choices from the drop-down box - 
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Select Pay Groups to be included? (Leave empty to select all Pay Groups)
Enter a 'Selected By City Tax Entity Code' if wanting to include only employee's paying into this City 
City 
. This option is also available when creating the 'Forms'. If wanting to include all employee's, leave blank.
Once all selections have been entered, click on 
W2 Report sample
Example of a W2 report with errors only
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Creating a Submission File for District to Submit
Field Definitions:
The Save and Recall option allows the users to create and save certain reports for different report runs for each report option. The Default option is the original SSDT report and the Most Recent is the last report that was ran by the user. If the report is no longer needed, click on to delete the report. The Default reports cannot be deleted.
Format for Summary Reports -The value of Format for Summary Reports will remain same when you change the 'Output Type' to Report. Only pertains to the File Summary Reports.
- PDF (download)
- Comma Separated Values
- Plain Text
Federal ID Number - The Federal ID Number is automatically populated using the Federal EIN from CORE/Organization
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For More information on CCA setup, please click here.
Example of CCA W2 Submission File Summary
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For more information on RITA setup, please click here.
For employees that worked or lived in at least one RITA municipality, employers are required to report for each employee every municipality for which tax was withheld or should have been withheld.
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Example of W2 RITA Submission File Summary
Example of RITA W2 Submission File City Summary Report
For employees that worked or lived in at least one RITA municipality, employers are required to report for each employee every municipality for which tax was withheld or should have been withheld.The report will show a breakdown of the cities
Example of RITA W2 Submission File City Summary Report
For employees that worked or lived in at least one RITA municipality, employers are required to report for each employee every municipality for which tax was withheld or should have been withheld.
The report will show a breakdown of the cities that are included in the RITA file. It will show each city with a count of Employees Processed, City Wages (taxable gross) and City Tax Withheld. If the city on the W2 RITA Submission File City Summary report is a RITA city (the city pay item configuration has a value in the 'RITA' field if it is a RITA city), then the Employees Processed and City Tax Withheld for the city should match what is shown on the W2 report in the report summary of the city tax item.
Employee's will only show 'City Wages' if the Payroll Item' Deduction Type' is marked as 'Employment'. The employees that are marked as residence on their city Payroll Items, will have the taxable gross reported as 0.00 in the submission file and the summary report but will still count in the employee's processed. The W2 RITA Submission City Summary report only counts employee who have values in Tax Withheld, Applicable Gross, and Total Gross that are greater than zero.
The City Wages (taxable gross) likely will not match the w2 report summary because RITA only includes the taxable gross in the submission file if the city 'Deduction Type' is not RESIDENCE (this value is on each individual employee's city tax item). If the 'Deduction Type' is RESIDENCE, the taxable gross in the submission file and the W2 RITA Submission City Summary report, will be 0.00. Therefore, the City Wages (taxable gross) on the W2 RITA Submission File City Summary report is usually smaller than the W2 Report summary for the city.
For these cities, you will have to total the tax withheld and taxable gross for just the employees in the submission file. In the RS records of the submission file, taxable gross (city wages) will be in positions 309-319 and tax withheld will be in positions 320-330, with an implied decimal before the last 2 digits.
Creating the Submission File for ITC to Submit
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The Save and Recall option allows the users to create and save certain reports for different report runs for each report option. The Default option is the original SSDT report and the Most Recent is the last report that was ran by the user. If the report is no longer needed, click on to delete the report. The Default reports cannot be deleted.
Federal ID Number - Defaulted to district's Federal ID Number
Additional Federal ID Number -
State ID Number - Defaulted to district's State ID Number
Kind of Employer -**Required field** Available choices from the drop-down box:
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Format for Summary Reports -The value of Format for Summary Reports will remain same when you change the 'Output Type' to Report. Only pertains to the File Summary Reports.
- PDF (download)
- Comma Separated Values
- Plain Text
Field Definitions:
The Save and Recall option allows the users to create and save certain reports for different report runs for each report option. The Default option is the original SSDT report and the Most Recent is the last report that was ran by the user. If the report is no longer needed, click on to delete the report. The Default reports cannot be deleted.
Federal ID Number - Defaulted to district's Federal ID Number
Additional Federal ID Number -
State ID Number - Defaulted to district's State ID Number
Kind of Employer -**Required field** Available choices from the drop-down box:
- F, Federal Government
- S, State and Local Governmental Employer (non 501c)
- T, Tax Exempt Employer
- Y, State and Local Tax-Exempt Employer (501c)
- N, None apply
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Employer Address first line and Employer Address second line fields must be populated. If there is not a separate Location Address, then the Delivery Address would need to be populated in both Employer Address first line and Employer Address second line fields–Example- 1495 Rains Park |
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Contact Name - **Required field**The contact's name information will be used on the W2 Submission file and should be the contact person at the district (treasurer, payroll clerk) that would be able to address any questions from the IRS regarding the W2 File. The contact's name can only contain A-Z, a-z, 0-9, space, period, hyphen and apostrophe.
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When creating W2's for Cities, enter in the 'Select By select a 'City Tax Entity Code' in the box provided. 
. This will return all employee's that paid into this city for the year.
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It will give 1 sheet (4-Up copy) for each employee.
When the user clicks on 
, the job will start and will get the following message:
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The File Name is what is entered in the Forms Title page. For City files, the File Name will be W2 Forms plus what is entered was selected in the 'Select By City Tax Entity Code'. Ex: W2 Forms XXXXXXX.zip
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W2 City Option Screen Setup for District Submitting file
Field Definitions:
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Check 
to include the City Name For the Processing City? This option will include other cities the employee pays into, if they have the 
checked 
checked, as well include the city name for the processing city.
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Optional Custom City Submission Override - If a district created a W2 City Override for a specific city, select from the drop-down box. Instructions on how to create an override file, click here.
Once all options are selected, click on 
Example of W2 City Submission file for District to submit - W2CITY_XXXXX.txt
To get the totals and amounts to balance to the W2 Report Summary totals, you will have to total the tax withheld and taxable gross for the employees in the submission file. In the RS records of the submission file, taxable gross (city wages) will be in positions 309-319 and tax withheld will be in positions 320-330, with an implied decimal before the last 2 digits.
Example W2 City Submission File Summary - XXXXXXX
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W2 City Submission File City Summary - XXXXXXXX
The City Tax withheld, City Wages, and Employee count on the summary report should match what is in the W2 Report>Report Summary for the city:
W2 Report>Report Summary
Creating a Submission file for ITC to submit W2 City File
This can be used to create a submission file for a particular city. The city is identified by the tax entity code.
Field Definitions:
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Employer Zip Code - The Employer Zip Code must be entered.
Tax Entity Code - Enter Select the Tax Entity Code Code **Required field** NOTE* The city is identified by the Tax Entity Code. This code needs to be entered on the city item configuration under Core/Payroll Item Configuration:
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Once all options are selected, click on 
Please securely email your City submission files to your ITC.
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Example of Ohio W2 Submission File Summary Report
The Wages Other Comp value is the taxable gross for the federal tax item. This value can include federal applicable gross adjustments, life insurance, taxable benefits, fringe benefits, and vehicle lease adjustments. It also includes board pickup amount adjustments for Medicare or social security. From payroll history, it would include the federal applicable gross, Medicare or social security taxable employer pickup, and dependent care amounts over $10$5,500000.
The Wages will show on the W2 Ohio Submission file RT lines, in positions 10-24 and Federal Income Tax Withheld in positions 25-39.
Indiana - W2MAST_IN.txt
Field Definitions:
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Contact Name -**Required field** The contact's name information will be used on the W2 Submission file and should be the contact person at the district (treasurer, payroll clerk) that would be able to address any questions from the IRS regarding the W2 File. The contact name can only contain A-Z, a-z, 0-9, space, period, hyphen and apostrophe.
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Employer Zip Code - This field can be left blank as this data will pull from the Company Zip Code Code field on on the System/Configuration/W2 Configuration record
Contact Name - **Required field**The contact's name information will be used on the W2 Submission file and should be the contact person at the district (treasurer, payroll clerk) that would be able to address any questions from the IRS regarding the W2 File. The contact name can only contain A-Z, a-z, 0-9, space, period, hyphen and apostrophe.
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If there are any West Virginia employees, W2 State State will ask toward the end for each quarters tax due. It will ask for 1st, 2nd, 3rd, 4th quarter tax due amounts. It also asks for the Total Tax Due.
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Criteria to be included
The conditions for employee's employees to get included onto the Ohio submission file, is any of the following:
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Contact Name - **Required field**The contact's name information will be used on the W2 Submission file and should be the contact person at the district (treasurer, payroll clerk) that would be able to address any questions from the IRS regarding the W2 File. The contact name can only contain A-Z, a-z, 0-9, space, period, hyphen and apostrophe.
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- The Medicare gross wages amount is incorrect or the FICA (Social Security) gross wages amount is incorrect. Please update the gross amount using CORE/ADJUSTMENTS/TOTAL GROSS that has the incorrect amount. This error should be corrected before creating a submission file. The Social Security Administration will contact the district if this error is not fixed.
- The Medicare gross wages amount is incorrect or the FICA (Social Security) gross wages amount is incorrect. Please update the gross amount using CORE/ADJUSTMENTS/TOTAL GROSS that has the incorrect amount. This error should be corrected before creating a submission file. The Social Security Administration will contact the district if this error is not fixed.
Error This employee has FICA wages without any Medicare wages.
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- The W2 Processing program verifies that the annuity (generally in the 500-599 payroll items code range) payroll item amount equals the calculated annuity amount. The calculated amount is determined by taking the total gross and subtracting the taxable gross. The result is the amount of the annuity that was in effect while the tax was being withheld. If this calculated value differs from the totals on the annuity records, the warning appears. This warning is often associated with a change that has been made to the taxable gross but no corresponding change was made to the total gross or vice versa. Manual adjustments in CORE/ADJUSTMENTS option to the annuity amounts may also cause this warning. Run the Audit Trail report to attempt to isolate these situations. If an annuity was in effect for only part of the year, this warning may appear and can be ignored.
- Create a Core>Adjustments for the Federal, State, City (if they honored the annuity originally,) OSDI (if applicable), and Medicare Payroll Items using the Type of Total Gross.
- The W2 Processing program verifies that the annuity (generally in the 500-599 payroll items code range) payroll item amount equals the calculated annuity amount. The calculated amount is determined by taking the total gross and subtracting the taxable gross. The result is the amount of the annuity that was in effect while the tax was being withheld. If this calculated value differs from the totals on the annuity records, the warning appears. This warning is often associated with a change that has been made to the taxable gross but no corresponding change was made to the total gross or vice versa. Manual adjustments in CORE/ADJUSTMENTS option to the annuity amounts may also cause this warning. Run the Audit Trail report to attempt to isolate these situations. If an annuity was in effect for only part of the year, this warning may appear and can be ignored.
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Warning Payroll Item XXX: Tax withheld is 0.00 and total gross is greater than 0.00.
- This warning usually indicates the Payroll Item was not stopped properly - meaning only the Rate field value was removed instead of placing a Stop Date on the record. Removing the percentage will assure nothing is withheld; however, the Total Gross will continue to accumulate. Create a Core>Adjustments for the City Payroll Item using the Type of Total Gross and for the Amount (as a negative to offset the positive amount) currently showing on the City Payroll Item>YTD Total Gross to zero this field.
Warning Payroll Item XXX: Tax withheld is 0.00 and taxable gross is greater than 0.00.
- This warning usually indicates the Payroll Item was not stopped properly - meaning only the Rate field value was removed instead of placing a Stop Date on the record. Removing the percentage will assure nothing is withheld; however, the Applicable Gross will continue to accumulate. Create a Core>Adjustments for the City Payroll Item using the Type of Applicable Gross and for the Amount (as a negative to offset the positive amount) currently showing on the City Payroll Item>YTD Applicable Gross to zero this field.
Warning Payroll Item XXX: Taxable gross is 0.00 and total gross is greater than 0.00.
- This warning usually indicates the Payroll Item was not stopped properly. Verify which figure, the Applicable Gross or Total Gross, is accurate. Create a Core>Adjustments for the City Payroll Item using the appropriate Type of Total Gross or Applicable Gross and for the Amount (as a negative to offset the positive amount) currently showing on the City Payroll Item>YTD Total Gross or Applicable Gross to zero this field.
Info Employer paid life insurance > 99,999.99 limit - field truncated.
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- Verify the Federal Tax Payroll Item>Pension Plan option selected and whether there is an active retirement record. The Pension Plan option selected and the employee having an active retirement record is used together to determine how/if the pension plan box on the employee W2 should be checked. There are three values for the flag:
- Automatically check the pension plan box per W2 Processing calculations.
- Yes, check the pension plan box.
- No, never check the pension plan box.
- Verify the Federal Tax Payroll Item>Pension Plan option selected and whether there is an active retirement record. The Pension Plan option selected and the employee having an active retirement record is used together to determine how/if the pension plan box on the employee W2 should be checked. There are three values for the flag:
W2 Report Summary Breakdown
Dependent Care Report: This report is the total of all Payroll Item Configuration>Type equaling Dependent Care and the Annuity Type equaling Section125NonWages.
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Desg. Roth 457B Report: This report is a total of all Payroll Item Configuration>Type equaling Regular and the Designated Roth equaling ContributionsTo457B. This will be reported on the RU record of W2MAST.
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Third Party Sick Pay Report: To generate a report of all third-party sick payments, go to Core>Adjustments.
- In the Adjustment Type filter field, enter Third.
- In the Transaction Date filter field, enter the appropriate date range (for example, 1/1/23..12/31/23).
- Click Report and generate a report in the desired format.
How Medicare Pickup
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effects employee's W2's
Medicare Pickup Amount is added to the employees Total Gross for 001, 002 and 003 Federal, State, Other State and Cities (if city taxes Medicare Pickup) and OSDI.
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Medicare Pickup
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Medicare pickup will be added to Fed, State, City (if applicable) and OSDI. The Employee will pay for the Taxes on the Medicare Pickup amount at the time they do their taxes.amount is added to the employee Taxable Gross for Medicare.
- City - Payroll Item Configuration>Employer Paid Amounts To Be Taxed-For more information, click here
- OSDI is not set up the same as the City Payroll Item Configuration, where 'Employer Paid Amounts To Be Taxed' can be included
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Federal, State and OSDI inflate the taxable amount and honor all annuities.
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- or not. Medicare Pickup will always be added to Total and taxable gross for OSDI.
When balancing between Quarter report and W2, on Quarter report, you have to add the Medicare pickup amount to the taxable gross
If the district is questioning if this OSDI taxes employee Medicare pickup, they will have to contact their tax advisor for confirmation.
Life Insurance (NC1)
If Life Insurance Pay Type was entered in Current or Future during the last payroll of the year, this will update the employee's Federal, State, Other State, City (if applicable) Medicare and OSDI Total Gross.
City Payroll Item Configuration - Tax Non-Cash Earn
Federal, State, and OSDI honor all annuities. Cities will depend on the Payroll Item configuration>City Tax Annuity Options and Options>Tax Non-Cash Earn
Criteria for an Employee to be Included on the W2 Report, W2 Submission File, W2 Form File
- If the the Federal YTD Gross is not equal to 0 or
- If the Federal YTD Amount Withheld is not equal to 0 or
- If the OSDI Taxable Gross is not equal to 0 or
- If the Employee Medicare/FICA Taxable Gross amount is not equal to 0
- Archived employees with YTD Amounts, will be reported and a W2 generated
USPS-R W2 Submission Overview Video
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