Aggregate Health Care Reporting

Human Resources > Year-End Processing > W-2 Processing > W-2 Setup

To report the aggregate cost of employer-sponsored health care coverage in W-2 processing, select ClosedDD  for Box 12 on the W-2 Setup page. This code enables you to include on W-2s the payroll deductions and benefits that have been used for health care.

Aggregate cost is the total cost of the health care. It may be the sum of employee and employer expenses. It also is referred to as the COBRA cost, what an employer would charge an employee for COBRA if the employee left the company.

  1. To set up an employee XXXX Box 12-DD UDF, where XXXX represents the tax year, follow these steps:
  2. Navigate to Maintenance > new world ERP Suite > Security > User-Defined Fields. The User-Defined Fields List page displays.
  3. In the Maintenance Type field, select Attributes.
  4. In the Record Type field, select Employee Employment. (The UDF you set up displays on the Employment tab in Workforce Administration.) The grid on the User-Defined Fields List page refreshes to show all UDFs that have been set up for the Employment tab in Workforce Administration.
  5. Click New. The User-Defined Field pop-up opens.
  6. In the Name field, type XXXX Box 12-DD.
  7. In the Data Type field, select Monetary. (Section Header and Sequence Number are optional.)
  8. Accept the default of 2 Decimal Places.
  9. Leave Required unchecked.
  10. Click OK. The pop-up closes, and a row for this UDF is inserted in the grid.

To add an amount manually to an employee’s XXXX Box 12-DD field, follow these steps:

  1. Navigate to Human Resources > Workforce Administration > Search.
  2. Select an employee.
  3. Click the employee’s Employment tab to bring it forward.
  4. Click the Edit button to enable the fields for entry.

  5. In the XXXX Box 12-DD field, type the amount. The amount from this field plus any amounts from deductions, benefits and hours codes are added together, and the total is placed in the employee’s W-2 Box 12. This amount displays on the W-2 Register.

    Based on the codes selected, you can tie out the amounts by running the Payroll History Report (Human Resources > Reports > Payroll History Report) for the tax year.

Note: All amounts from the UDF, deductions, benefits and hours codes are added together; the UDF does not override what is calculated for the deductions and benefits.