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Employees use accounting information to learn information about the business, such as the financial health, amount of sales and profitability, and many other things.

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What uses are made of the information shown in the employees earnings record?

The employees' earnings record provides the information needed to prepare periodic reports required by the withholding tax laws, the FICA tax law, and state unemployment or disability laws. Employees also use the employees' earnings record in preparing Form W-2, Wage and Tax Statement. This form shows the amount of wages paid each worker in the course of the trade or business of the employer.


What uses are made of the information shown in the employees' earnings record?

The employees' earnings record provides the information needed to prepare periodic reports required by the withholding tax laws, the FICA tax law, and state unemployment or disability laws. Employees also use the employees' earnings record in preparing Form W-2, Wage and Tax Statement. This form shows the amount of wages paid each worker in the course of the trade or business of the employer.


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