W-2 for multiple states.

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I have an employee that moved to another state this year.  He is still working remotely for us.

As far as his W-2 during this period, how do I report both state earnings and state withholding?

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  • 0
    verified answer

    Hi Barbara,

    I would recommend setting up a second employee record for the new state, this would make it easier to combine both records at year end when doing W2s.  The only drawback to this approach is for things that have relatively low limits (FUTA or SUI for example) you may need to make manual adjustments to keep the second record from over-withholding / contributing for the remainder of the year.

    Thank you.

  • +1 in reply to DonaldC
    verified answer

    Hi Donald,

    Thanks for your suggestion.  We are a 501-3 non-profit so we don't have FUTA.  I keep a supplemental worksheet for the state unemployment -- so no problem there.  In this scenario, would I produce 2 W-2s -- one for each state.  Or produce one W-2 and show a detail of their earnings for each state and state income taxes rather than one?  Thanks, Donald.

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  • +1 in reply to DonaldC
    verified answer

    Hi Donald,

    Thanks for your suggestion.  We are a 501-3 non-profit so we don't have FUTA.  I keep a supplemental worksheet for the state unemployment -- so no problem there.  In this scenario, would I produce 2 W-2s -- one for each state.  Or produce one W-2 and show a detail of their earnings for each state and state income taxes rather than one?  Thanks, Donald.

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