FAQs - Auto Enrollment - How does an employer report an employee's automatic enrollment contributions to a retirement plan?

An employer reports automatic enrollment contributions deducted from an employee's wages on the employee's Form W-2, Wage and Tax Statement (PDF), per the Form W-2 instructions. Even though automatic enrollment contributions from an employee's pre-tax wages aren't treated as current income for federal or some states' income tax purposes, they are included as wages subject to social security (FICA), Medicare and federal unemployment taxes (FUTA). Any automatic enrollment contributions deducted from an employee's after-tax wages are current income for FICA, Medicare, FUTA, and federal and state income tax purposes.

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