Which Year Do Earnings Count?

by Jennifer
(Douglasville, GA USA)

The last pay period for 2012 ended on 12/30/12 with a check date of 1/03/13. Should that income and taxes withheld be reflected on my 2012 w-2 or 2013 w-2?


My first check I received of 2013 that had a pay period of 12/31/12-1/5/13 check date 1/9/13, had my year to date earnings including that last pay period of 2012. Should I be concerned?

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Pay Date Determines Year Income Counts
by: Best Business Payroll

According to the IRS, it doesn't matter in which year your hours were worked, only in which year the pay date falls. So even though you worked some hours in 2012, you were paid in 2013, so it counts as 2013 income.

It is a bit unclear which "last pay period of 2012" you meant. If you meant the one which included work on 12/31/12, then that would be included in 2013 pay since the pay date falls in 2013. But if you meant the previous pay period ending on 12/30/12, that should not be counted. We recommend checking with your Human Resources Department to verify which pay periods are being included in 2013 to be sure only the 12/31/12 date is included.

Best of luck.

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