W-2 code TT: Weeks paid in the next year
Short answer: Overtime counts in the year it is paid, under the same rules as wage withholding. A week worked in late December and paid in January belongs on the next year's W-2.
Example
A week ending 26 December 2026 with $50 of qualified overtime, paid on 1 January 2027, goes on the 2027 W-2. Fill in pay_date in the calculator and it splits the weeks by year for you.
A week ending 26 December 2026 with $50 of qualified overtime, paid on 1 January 2027, goes on the 2027 W-2. Fill in pay_date in the calculator and it splits the weeks by year for you.
The rules
- When qualified overtime is paid follows the wage withholding rules (FS-2026-13 Q3).
- Bonus true-ups count when the bonus is paid.
- 2026 Forms W-2 are due 1 February 2027 (2026 W-2/W-3 instructions).
Work it out for your payroll
The free code TT calculator does this per workweek for one employee or a whole payroll CSV, with bonuses spread back and weeks split by pay date. It runs in your browser.
The free code TT calculator does this per workweek for one employee or a whole payroll CSV, with bonuses spread back and weeks split by pay date. It runs in your browser.
Whole payroll, offline? The W-2 Code TT Kit runs every employee in one file with no network access, plus CSV templates, the week-by-week audit trail and a 12-page guide to every rule.
Get the kit ($29, accountants $99)
Get the kit ($29, accountants $99)
Sources
- IRS FS-2026-13: Qualified overtime compensation FAQs (August 2026)
- IRS: 2026 General Instructions for Forms W-2 and W-3
Not tax or legal advice. Facts checked 27 Oct 2026 against the IRS FAQs (FS-2026-13) and the FLSA regulations.
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