January 31, 2019 is the deadline for issuing Employee W-2 forms. The following guidelines may be helpful when preparing W-2 forms for a participant in a Defined Contribution plan:

  • Box 12 – if any employee contributes (defers) pre-tax dollars, place a D in this box with the amount of their pre-tax deferral. Use code AA for any designated Roth deferrals.
  • Box 13 – place an X in the box for Retirement Plan if the employee is an “Active Participant.”

An employee is an Active Participant if they are any of the following:

  • A person who actually contributes (defers) pre-tax dollars to a 401(k) plan
  • A person who actually contributes post-tax dollars to a retirement plan
  • A person who received an employer contribution or a reallocated forfeiture during the 2018 tax year