Deadline: W-2s due Feb 1, 2027

Your 2026 W-2 overtime number (Box 12, code TT) is probably wrong. Fix it before Feb 1, 2027.

Starting with 2026 wages, employers must report each employee's qualified overtime premium on Form W-2. Payroll tools often miss bonuses, multiple pay rates and early-year paychecks. TT Check recalculates it week by week from the FLSA regular rate.

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Why payroll software gets this wrong

Bonuses ignored

Nondiscretionary bonuses raise the regular rate. The "overtime pay ÷ 3" shortcut ignores them and understates code TT.

Multiple pay rates

Prevailing wage, different job rates or shift rates require a weighted-average regular rate. Many setups can't calculate it automatically.

Missed paychecks & catch-up

If tracking started late or was set up wrong, year-to-date totals are off and need a per-paycheck correction before W-2s go out.

How the full audit works

1

Upload your payroll CSV

Payroll register or timesheet export (QuickBooks, Toast, Gusto or our simple template).

2

We recompute every workweek

Regular rate including bonuses and multiple rates → qualified OT = ½ × regular rate × hours over 40.

3

Get your results

Year-to-date code TT per employee, a per-paycheck catch-up schedule, and an audit PDF in English or Spanish.

Free code TT calculator

Enter each workweek's hours at each hourly rate plus any nondiscretionary bonus earned that week. Everything runs in your browser; nothing is uploaded or stored.

Upload a CSV (optional)

Format: employee,week,rate,hours,bonus — one row per pay rate per week. Bonus is summed per week.

 

YTD qualified overtime, all employees: $0.00

Per week: regular rate = (Σ rate × hours + nondiscretionary bonus) ÷ total hours; qualified OT = 0.5 × regular rate × hours over 40. Each workweek stands alone. Amounts rounded to cents per week.

Full-year audit pricing

Small employer

$249 one-time

Up to 25 employees. YTD code TT, catch-up schedule, audit PDF.

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Growing employer

$449 one-time

Up to 100 employees. Everything in Small, plus multi-rate review.

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Bookkeepers & CPAs

$99 / client

Or $499 for 10 clients through year-end.

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Get the 2026 code TT checklist + deadline reminders

TODO: connect email form to a real provider (no data is collected yet)

FAQ

What is W-2 Box 12, code TT?

Starting in tax year 2026, employers must report qualified overtime compensation on Form W-2, box 12, code TT (IRS FS-2026-13, Q10). It's the premium portion of FLSA-required overtime, not total overtime pay.

How is it calculated?

Each workweek: FLSA hours over 40 × one-half × the employee's FLSA regular rate (IRS FS-2026-13, Q12). The regular rate is total includable pay for the week divided by total hours worked (Q15; DOL Fact Sheet #56A).

Do bonuses count?

Nondiscretionary bonuses (attendance, production, safety, promised bonuses) are included in the regular rate. Truly discretionary bonuses, gifts and other statutory exclusions are not (DOL Fact Sheet #56A). Enter only includable amounts.

What about California daily overtime or union overtime?

Only FLSA overtime (over 40 hours in a workweek) counts toward code TT. This calculator uses the weekly 40-hour rule only, so daily or contractual overtime doesn't add to the result.

What if I already filed wrong amounts?

The IRS says errors in code TT must be corrected with Form W-2c (FS-2026-13, Q11). Fixing it before W-2s go out is far easier.

Is my data safe?

The free calculator runs entirely in your browser; nothing is uploaded or stored. For paid audits, files are encrypted in transit and at rest and deleted within 30 days of delivery.

Not tax or legal advice. TT Check is a calculation tool for educational and informational purposes. Results depend on the data you enter and on simplifying assumptions (weighted-average regular rate, bonuses allocated to the week they were earned, 40-hour weekly FLSA overtime only). Confirm amounts with your payroll provider or a qualified tax professional before filing.

Privacy. The calculator and CSV upload are processed locally in your browser. No payroll data leaves your device. The email form (once connected) collects only your email address.

Sources: IRS Fact Sheet FS-2026-13 (Q6, Q10–Q15) · DOL WHD Fact Sheet #56A: Regular Rate · 29 CFR 778.115 (multiple rates) · 29 CFR 778.110 (bonuses)