Employers will have to report amounts paid for qualified sick leave wages and qualified family leave pay under the Families First Coronavirus Response Act. Reporting is required on Box 14 of 2020 Forms W-2. Alternatively, reporting may be made on a separate statement.
The new Form W-2 reporting is intended to provide self-employed individuals with the information they need to claim FFCRA sick leave or family leave credits. Some employees may also have self-employment income subject to the credit. Wages that must be reported include: sick leave wages subject to the $511 per day limit (self-care); sick leave wages subject to the $200 per day limit (care for others) and family leave wages up to $200 per day.
For an explanation of the FFCRA sick leave credits, see our prior article by clicking here.