How to correctly file W-2 vs W-2C with Box 12 code change from D to W?

Thanks for explaining! So I just ignore the original W-2 information for box 12 completely? Does this mean I've actually been contributing to an HSA instead of a 401(k) all year and didn't realize it?

You only ignore the original information for the specific boxes that were corrected on the W-2C. For any boxes not listed on the W-2C, you still use the original W-2 information. Most likely what happened is an administrative error - you probably have both a 401(k) and an HSA, but the employer initially reported your HSA contributions incorrectly as 401(k) contributions. The correction indicates they're fixing that mistake by properly coding your HSA contributions as code W. You might want to check your pay stubs or contact your HR department to confirm your actual retirement contributions are still being tracked correctly elsewhere.

Does this actually work with complicated W-2C situations? I've got a similar issue but mine also has changes to federal withholding amounts. Can it handle multiple corrections?

I'm skeptical of these tax tools. How does it actually know what the employer intended? Couldn't it just be guessing about the correct interpretation?

For complicated W-2C situations with multiple corrections, absolutely! The tool is specifically designed to compare original and corrected forms side by side, highlighting all differences. It handles everything from code changes to withholding adjustments and explains the implications of each change. Regarding accuracy, it's not guessing at all - it applies actual IRS rules and regulations to your specific situation. It doesn't try to determine what the employer "intended" but rather shows you exactly what the correction means for your tax filing. The analysis is based on the official IRS guidelines for handling W-2C forms.

How does this actually work? Do you have to give them your personal info? That seems sketchy to hand over your tax details to some random company.

Yeah right. There's no way this works. I've tried EVERYTHING to get through to the IRS and always end up sitting on hold for 2+ hours until they disconnect me. No way some service can magically get through when millions of people can't.

You don't actually give them any tax details or personal information beyond your phone number. They just secure your place in the phone queue and then call you when they reach an agent. At that point, you're connected directly to the IRS - Claimyr isn't on the call and doesn't hear any of your personal tax information. The service works because they have developed a system that navigates the IRS phone tree efficiently and maintains the connection even during peak hours. It's not magic - it's just technology solving the frustrating problem of getting through to someone. I was super skeptical too, but after waiting 3+ hours on my own attempts, this got me through to an agent in under an hour.

Thank you! I didn't realize I'd need to fill out Form 8889 now. Will the HSA contribution affect my tax refund differently than if it had stayed as a 401k contribution?

HSA contributions are treated more favorably than 401(k) contributions in many ways. Both reduce your taxable income, but HSA withdrawals for qualified medical expenses are completely tax-free (unlike 401(k) withdrawals which are taxed as income). The Form 8889 is fairly straightforward if you're using tax software. The good news is that having employer contributions to your HSA (Code W) might actually benefit you more than having that same money in a 401(k), since you can use the HSA funds tax-free for medical expenses both now and in retirement.

Totally agree. When my W-2 had a similar correction, I found out they had been contributing to the wrong plan entirely and had to move funds around. Better to sort it out now than have mismatched contribution records later.