NJ Wage Issue

[TaxNY]

Client received two W-2's. 

One W-2 is sourced from NY but client lives in NJ. Client wages are different from SS wages since there are some federal deductions NJ does not recongize therefore the income is much higher than what is being reported on the federal side. 

Second W2 is sourced from NJ so when you add the correct NJ and NY wages the #'s dont reflect accurately on the NJ1040. I'm not sure what Im doing that the system dont trigger it correctly. 

[Accountant-Man]

I use Pro Series, not ProConnect, but we have to enter two state wages boxes, one for NY(typically the same as federal wages), and the different one for NJ(includes Cafe 125 pre-tax health insurance, for one thing).

For the NY sourced wages, you must calculate NJ wages and enter both on the W2. Just be careful that NJ doesn't pick up BOTH amounts as wages, only the correct amount.

FYI, PA would pick up both, we just need to check a box to exclude the NY wages from PA.