If an employee believes their Form W-2 is incorrect, what initial step should they take?

When an employee believes their Form W-2 is incorrect, the proper initial step is to notify the employer of the error and request an update. This action is essential because the Form W-2 is issued by the employer, and only they have the authority to correct any inaccuracies.

By communicating the issue with the employer, the employee can ensure that necessary adjustments can be made and a corrected W-2 can be issued, which is important for accurate tax reporting. Additionally, a corrected W-2 will help prevent potential issues with tax returns or discrepancies with the IRS.

Submitting the form without addressing the problem could lead to filing taxes based on incorrect information, potentially resulting in complications. Altering the W-2 independently is unauthorized and may have legal repercussions. Waiting for the employer to discover the mistake does not proactively address the issue and could lead to delays in correcting important tax documentation. Thus, notifying the employer is the most responsible and effective first step.