Tie-out tool / My Code TT looks wrong
My W-2 Code TT looks wrong
Code TT is normally about one third of your overtime pay, or less. If it still looks wrong, ask your employer for a corrected Form W-2c. You can only deduct what is reported in box 12 with code TT.
Check it first
Code TT is not your overtime pay. It is the half-time premium for hours you worked over 40 in a workweek. Overtime on your pay stubs can be higher for normal reasons:
- Time-and-a-half: only the half counts.
- Double time: still only the half.
- Holiday or PTO weeks: paid hours that were not worked do not count toward 40.
- Daily overtime under state law in a week of 40 hours or less.
If it is understated or missing
"The employee must request from the employer a Form W-2c (Corrected Wage and Tax Statement) that properly reports the qualified overtime compensation using box 12, code TT". If the employer does not correct it, "any amount not reported on Form(s) W-2, box 12, code TT may not be considered for purposes of the deduction." (IRS FS-2026-13, Q22)
A substitute Form 4852 cannot be used for this. (FS-2026-13, Q23)
If it is overstated
You may only use the qualified overtime actually paid to you, even if box 12 shows more. (FS-2026-13, Q21)
The deduction itself
See deduction limits. Your employer or their bookkeeper can rebuild the figure week by week with the tie-out tool.
Do the whole year from a file
Drop a timesheet CSV, paste the register overtime totals, and get a worksheet per employee with the reason for every difference.
Open the tie-out toolRuns in your browser. Payroll data is never uploaded.
Questions
Why is my Code TT so much lower than my overtime pay?
Because only the premium above your regular rate counts. For time-and-a-half that is one third of the overtime pay.
My W-2 has no code TT but I worked overtime. Can I still deduct it?
For tax years after 2025 the IRS says no: only amounts reported in box 12 with code TT count. Ask the employer for Form W-2c.
Sources
Fetched 2026-11-10. Regulation text was checked against the federal annual edition; links open the current online version.
Updated 2026-11-10. Tickfoot is an information tool, not tax, legal or professional advice.