Each year, a limit is set on how much Social Security tax an individual should have withheld on their behalf.
Reporting Excess Social Security Tax
Excess Social Security tax should be reported if you, or your spouse (if filing a joint return), had more than one employer for the tax year and, individually, you (or your spouse) had total wages exceeding the annual limit. If this is not the case and an amount is being reported, please verify that your W-2 entries are correct.
Limits for Different Years
- 2024: $168,600 (limit: $10,453)
- 2023: $160,200 (limit: $9,932.40)
- 2022: $147,000 (limit: $9,114)
- 2021: $142,800 (limit: $8,853.60)
If an individual has more than the limit withheld and has two or more employers, the program will report the excess on Schedule 3, Line 11, which will be attached to your return. This amount will be carried to line 31 of Form 1040 along with other credits and payments reported on your 1040 Form. This will be automatically calculated by the program within your return based on your entries.
Verification of W-2 Entries
If an amount is being calculated on your return, this means that excess Social Security tax was reported within the entry screens. Check your W-2 entries for the amounts entered in box 4 for each W-2. Also, if filing jointly, ensure that the proper individual has been selected as the "Employee" (left side of the W-2 entry screen) for each W-2. Incorrectly listing the W-2s could result in excess Social Security being calculated.
Refund by Employer
If only one employer is reported on the tax return, the employer must refund any excess Social Security taxes withheld directly to the taxpayer, and it is not reported on your tax return.
Additional Information
For additional information, please reference Publication 505.