Tie-out tool / Code TT checker
W-2 Code TT checker
Code TT should be no more than one third of overtime paid at time-and-a-half, or one quarter at double time. Enter the two figures to see where a W-2 sits.
Reading the result
| Result | What it usually means | Next step |
|---|---|---|
| Code TT equals all overtime pay | The full overtime line was reported, not the premium | Correct it on Form W-2c |
| Above the ceiling | A bonus or second rate raised the regular rate, or an error | Check bonuses and two pay rates |
| At the ceiling | Every overtime hour was worked over 40 at one rate | Nothing, if that matches the timesheets |
| Below the ceiling | Holiday or leave weeks, daily overtime, or split pay periods | See the 6 reasons |
| No code TT at all | Not reported; the employee cannot deduct it | Ask for Form W-2c |
Where to find the two numbers
- Code TT: Form W-2, box 12a to 12d, the amount beside the letters TT.
- Overtime pay for the year: the year-to-date overtime line on the last pay stub paid in 2026, or the overtime earnings total on the payroll register.
The ceiling comes from the IRS formula: hours worked over 40 x one-half x the regular rate. (IRS FS-2026-13, Q12) The W-2 instructions say only the half portion of time-and-a-half goes in code TT. (IRS W-2 instructions, 2026)
This check cannot confirm a figure. Only the hours worked in each workweek can. Bookkeepers can rebuild the whole year from a timesheet file 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
My Code TT is exactly one third of my overtime pay. Is it right?
It is at the ceiling for time-and-a-half. That is right if every overtime hour was worked over 40 in its workweek, with no holiday or leave hours counted and no daily overtime.
My Code TT is the same as my overtime pay. Is that wrong?
Almost certainly too high. Only the premium above the regular rate is qualified overtime, and the IRS says an employee may only use the amount actually paid even if box 12 shows more.
Sources
- IRS Fact Sheet FS-2026-13, qualified overtime questions and answers (August 2026)
- IRS, General Instructions for Forms W-2 and W-3 (2026)
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.