Medicare Wages and Tips (W-2)

What is Medicare Wages and Tips (W-2)?

The amount of your income subject to Medicare tax withholding is listed in the W-2 form’s Medicare wages and tips section. This box’s value will often match the information in the W-2 form’s “wages, tips, and other compensation” section. By comparing the data, it can be shown that the Medicare tax is calculated using the entire employee’s income.