---
title: "What Is a W-2 Form? Meaning & vs 1099"
url: https://www.wisemonk.io/glossary/what-is-a-w-2-form
lang: en
---

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# What is a W-2 form?

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**A W-2 form is the United States tax document an employer issues each year to report an employee's wages and the taxes withheld from their pay.** Officially the Wage and Tax Statement, it is the central record a US employee uses to file an income tax return. It applies only to employees, not to independent contractors, which is why it pairs with two other US forms: the 1099 for contractor payments and the W-9 used to collect a contractor's tax details.

## What does a W-2 report?

The W-2 summarizes a full year of pay and withholding for one employee. Its main contents are these.

- **Wages earned:** total taxable wages, tips, and other compensation for the year.
- **Taxes withheld:** federal and state income tax, plus Social Security and Medicare withholding.
- **Identifiers:** employer and employee details used to match the form to tax records.

## Who receives a W-2?

The W-2 is tied to employee status, which is the key point for classification. A few rules apply.

- **Employees only:** anyone on the company's US payroll as an employee gets a W-2.
- **Not for contractors:** independent contractors receive a 1099 instead, with no tax withheld.
- **Annual deadline:** employers must provide W-2s to employees early in the following year.

## W-2 vs 1099 vs W-9

These three US forms are easy to mix up, but each serves a distinct purpose, as the table shows.

| Form | Used for | Tax withheld |
| --- | --- | --- |
| W-2 | Employee wages | Yes |
| 1099 | Contractor payments | No |
| W-9 | Collecting contractor details | Not applicable |

*This information is for general guidance. Confirm current US requirements and consult tax experts for your specific situation.*

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