The W2 Exception Register request set identifies employees who have negative box 1 totals on the Form W-2, or have a zero box 1 total on the Form W-2, but have other negative W-2 box totals. This report also identifies Pennsylvania employees with invalid PSD codes.
The W2 Exception Register reports the following employees as an exception and not receiving a W-2 (for 2013 or later):
Employee's work PSD code is invalid (990000) and their resident PSD code is either valid, 880000 (out of state) or 510101 ( Philadelphia) and they have work local tax withheld greater than zero (0).
Employee's resident PSD code is invalid (990000) and their work PSD code is either a valid PSD code, 880000 (out of state) or 510101 ( Philadelphia) and they have resident local tax withheld greater than zero (0).
Both the employee's work PSD code and resident PSD code are invalid and they have local tax withheld greater than zero (0).
Before you run the W2 Exception Register, review the setting of the HR:Allow invalid PSD codes on W-2(Y/N) profile option. Oracle US Payroll enables you to determine whether employees with invalid PSD codes are to be reported in the W2 Exception Register or receive a W-2 with a potentially invalid or incorrect TCD code in Box 20. The setting for the HR:Allow invalid PSD codes on W-2(Y/N) profile option determines whether or not an employee is reported in the Employee W-2 PDF, W2 Register reports or the W2 Exception Register.
For more information, see:Determining how to Handle Employees with Invalid PSD Codes in Year End Reports
Organize the W2 Exception Register report according to user-defined criteria or sort options. Oracle Payroll does not require that you use sort options to generate your W2 Exception Register, but they are the best way to customize the report to your specific needs. You can sort the report by any three of the following options:
Employee Name
Location
Organization
Social Security Number
Note: You cannot choose to sort by Social Security Number and then Employee Name. If you select Social Security Number as a sort option, Employee Name does not appear in the List of Values for the remaining sort options.
Example
Following is an example of how to use sort options to customize the W2 Exception Register.
To create a W2 Exception Register sorted by Organization, Location, and Employee Name:
Enter Organization into the Sort Option One field.
Enter Location into the Sort Option Two field.
Enter Employee Name into the Sort Option Three field.
Using these Sort Options, Oracle Payroll generates the report listing each employee by location within each organization for the selected GRE.
Note: The application nests the sort options. Using the previous example, if you change Sort Option Two from Location to Employee Name, Sort Option Three automatically clears.
When printed, the W2 Exception Register inserts a page break between each selected sort option, with the exception of Employee Name or Social Security Number.
For Example, if you choose Organization, Location, and Employee Name as sort options, the report contains a page break every time the Organization or the Location changes. The report doesnot have page breaks between the individual employees.
The following parameters exist for the W2 Exception Register:
| Reporting Year (required) | Four-digit calendar year. |
| Government Reporting Entity(required) | GREs archived using the Year End Pre-Process for the specified Reporting Year will appear. GREs for retirees do not appear. |
| Totals Only (required) | Yes to display only the W-2 box totals for all selected employees in the report; the report does not include individual employees. No to display W-2 box totals in the report for selected individual employees, as well as the totals for these employees. |
| Assignment Set (optional) | Assignment set to generate an exception report for only those employees.
Note: This report does not support dynamic assignment sets. |
| Sort Options (optional) | Use the three fields for sort options to sort your report results. You cannot select Sort Options if the Totals Only parameter is set to Yes. See the Sort Options section for more information on how to properly use these parameters. If you do not select any sort options, the report uses Employee Name as the default. |
The W2 Exception Register prints according to the parameters that you select in landscape format to fit on 8.5" x 11" paper.
The values for boxes 1 through 6 of form W-2 always appear on the report. The values for all other W-2 boxes appear on the report only if they are non-zero values. This report format is the same as the W2 Register report.
The report then lists the following information:
Total Employees Successfully Processed
Total Employees who receive a printed W-2
Total Employees with Zero or Negative Wages (box 1)
Total Employees Errored in Year End Pre-Process
Total employees Marked for Retry of Year End Pre-Process