Form W-3 is an essential document that employers use to transmit W-2 forms to the Social Security Administration. If you’re responsible for payroll at your business, understanding how to complete this form correctly is crucial for compliance and avoiding penalties.
In this guide, you’ll learn everything you need to know about Form W-3, including who needs to file it, step-by-step instructions, and common mistakes to avoid.
Quick Summary
Before diving into the details, here’s what you need to know:
- W-3 is the transmittal form for W-2s sent to the SSA
- Required only when filing paper W-2 forms
- Not needed if you file W-2s electronically
- Due January 31st annually
- Summarizes all W-2 data for the tax year
What is Form W-3?
Form W-3 (Transmittal of Wage and Tax Statements) is a summary form used by employers to transmit Copy A of Forms W-2 to the Social Security Administration (SSA). Think of it as a cover sheet that summarizes all the W-2 forms you’re submitting for your employees.
Key Facts
| Aspect | Details |
|---|---|
| Purpose | Transmit W-2 forms to the SSA |
| Who files it | Employers with employees |
| When to file | January 31st (annually) |
| Where it goes | Social Security Administration |
| Copies | One W-3 per submission |
What W-3 Includes
- Total number of W-2 forms being transmitted
- Total wages paid to all employees
- Total federal income tax withheld
- Total Social Security wages and taxes
- Total Medicare wages and taxes
- Employer identification information
Important: Form W-3 is only used when filing paper W-2s. If you file W-2s electronically (recommended), you don’t need to file a separate W-3.
Who Must File Form W-3?
You Must File W-3 If:
- You’re an employer with employees
- You’re filing paper W-2 forms with the Social Security Administration
- You paid wages subject to federal income tax, Social Security, or Medicare withholding
- You’re required to file W-2 forms for the tax year
Common Filers
| Business Type | Needs W-3? |
|---|---|
| Small businesses with employees | Yes (paper) |
| Corporations (S-Corp, C-Corp) | Yes (paper) |
| LLCs with employees | Yes (paper) |
| Non-profit organizations | Yes (paper) |
| Household employers | Yes (paper) |
You Don’t File W-3 If:
- You file W-2s electronically via SSA Business Services Online
- You only have independent contractors (they receive 1099-NEC)
- You had no employees during the year
- You’re an employee receiving a W-2 (employers file, not employees)
When to File W-3
Filing Deadline: January 31, 2027
For the 2026 tax year:
- Deadline: January 31, 2027
- Applies to: Wages paid during calendar year 2026
This deadline applies to:
- Filing W-3 with SSA
- Filing W-2s with SSA
- Providing W-2s to employees
Timeline
| Date | Action |
|---|---|
| December 31, 2026 | End of tax year; calculate final payroll totals |
| January 1-31, 2027 | Prepare W-3, send W-2s to SSA and employees |
| February 1, 2027+ | Late filing penalties apply |
Extensions
Generally, the IRS does not grant extensions for filing W-2/W-3 forms. Exceptions are rare and require extraordinary circumstances.
Pro Tip: Don’t wait until the last minute. Prepare your W-2s and W-3 in early January to avoid the deadline rush.
W-3 vs. W-2: Understanding the Difference
Form W-2 (Wage and Tax Statement)
| Aspect | Details |
|---|---|
| Purpose | Report individual employee’s wages and tax withholding |
| Recipients | Each employee, SSA, and state (if required) |
| Quantity | One W-2 per employee |
| Information | Individual wages, withholding, and SSN |
Form W-3 (Transmittal)
| Aspect | Details |
|---|---|
| Purpose | Summarize and transmit all W-2 forms to SSA |
| Recipients | Social Security Administration only |
| Quantity | One W-3 per submission |
| Information | Totals of all wages and taxes across all W-2s |
Example
If you have 5 employees:
| Employee | Wages | Tax Withheld |
|---|---|---|
| Employee 1 | $50,000 | $7,500 |
| Employee 2 | $45,000 | $6,750 |
| Employee 3 | $60,000 | $9,000 |
| Employee 4 | $40,000 | $6,000 |
| Employee 5 | $55,000 | $8,250 |
| W-3 Total | $250,000 | $37,500 |
Think of it this way: W-2 is the individual report for each employee. W-3 is the summary for all employees.
Step-by-Step Instructions
Before You Begin
Gather the following:
- All completed W-2 forms (Copy A)
- Your Employer Identification Number (EIN)
- Total payroll records for the year
- Calculator to verify totals
Box b - Kind of Payer
Check one box that describes your organization:
| Box | When to Use |
|---|---|
| 941 | Regular businesses (most common—choose if unsure) |
| 943 | Agricultural employers |
| 944 | Small employers (annual tax liability under $1,000) |
| CT-1 | Railroad employers |
| Hshld. emp. | Household employers (nannies, housekeepers) |
Box c - Total Number of Forms W-2
Enter the count of W-2 forms being transmitted. If sending W-2s for 25 employees, enter “25”.
Box e - Employer Identification Number (EIN)
Enter your 9-digit EIN in the format XX-XXXXXXX. This must match the EIN on your W-2 forms.
Box f - Employer’s Name
Enter your legal business name as registered with the IRS.
Box g - Employer’s Address
Enter your business mailing address where the SSA can send correspondence.
Boxes 1-6: Wage and Tax Totals
| Box | What to Enter |
|---|---|
| Box 1 | Total wages, tips, and other compensation from all W-2s |
| Box 2 | Total federal income tax withheld from all W-2s |
| Box 3 | Total Social Security wages from all W-2s |
| Box 4 | Total Social Security tax withheld from all W-2s |
| Box 5 | Total Medicare wages from all W-2s |
| Box 6 | Total Medicare tax withheld from all W-2s |
Verification
Before submitting, verify:
- Box 4 = approximately 6.2% of Box 3
- Box 6 = approximately 1.45% of Box 5
Signature Section
Complete the following:
- Signature: Sign in ink (must be authorized person)
- Title: Your job title (CEO, Owner, Payroll Manager)
- Date: Current date in MM/DD/YYYY format
- Contact Person: Name of person SSA can contact
- Phone Number: Include area code
- Email Address: Optional but recommended
Where to Send Form W-3
Paper Filing Address
Send Forms W-2 with W-3 to:
Social Security Administration
Data Operations Center
Wilkes-Barre, PA 18769-0001Mailing Instructions
- Complete Form W-3 (one per EIN)
- Attach Copy A of all W-2 forms
- Use paper clips—do not staple forms
- Do not fold forms if possible
- Keep a copy for your records
Recommended: Use certified mail with return receipt to prove timely filing.
Electronic Filing (Recommended)
Benefits of E-Filing
- No W-3 form needed (system generates automatically)
- Faster processing with immediate confirmation
- More secure with encrypted transmission
- Fewer errors due to validation checks
- Required if you have 250 or more W-2s
How to File Electronically
Option 1: SSA Business Services Online (Free)
- Register at SSA.gov/bso
- Enter W-2 data online or upload file
- Submit electronically
- Print confirmation
Option 2: Payroll Software
Most payroll services (QuickBooks, Gusto, ADP, Paychex) file W-2s electronically and generate W-3 automatically.
Option 3: Tax Professional
A CPA or tax professional can file on your behalf using professional software.
Common Mistakes to Avoid
Top Errors That Cause Processing Delays
| Mistake | Solution |
|---|---|
| Math errors on W-3 | Double-check all totals match sum of W-2 forms |
| W-3 totals don’t match W-2s | Verify count matches actual forms submitted |
| Missing or incorrect EIN | Verify EIN matches IRS records |
| Using W-3 for electronic filing | W-3 is for paper submissions only |
| Stapling forms together | Use paper clips—staples jam SSA equipment |
| Sending wrong W-2 copies | Send Copy A only (red-ink copies) |
| Missing signature | Sign and date the form |
| Filing after deadline | File by January 31st to avoid penalties |
Late Filing Penalties
| How Late | Penalty Per Form |
|---|---|
| Within 30 days | $60 |
| 31 days to August 1 | $120 |
| After August 1 | $310 |
| Intentional disregard | $630 (no maximum) |
Penalties apply to each W-2 form, not just the W-3. File on time to avoid costly penalties.
W-3 Filing Checklist
Document Preparation
- Completed Form W-3 (current year)
- All required boxes filled out
- Totals calculated and verified
- Box c count matches actual W-2s
- EIN is correct and matches W-2s
Signature and Contact
- Form is signed and dated
- Title is filled in
- Contact person and phone number included
W-2 Forms
- Copy A (red ink) of all W-2s attached
- Forms paper-clipped to W-3
- Count matches Box c
Mailing
- Addressed to correct SSA address
- Mailed by January 31st
- Sent via certified mail (recommended)
- Receipt saved for records
Frequently Asked Questions
Do I need to file W-3 if I file W-2s electronically?
No. Form W-3 is only required when filing paper W-2s. Electronic filing through SSA Business Services Online or payroll software automatically generates the transmittal information.
What’s the penalty for filing W-3 late?
Penalties range from $60 to $310 per form depending on how late you file. Intentional disregard can result in $630 per form with no maximum.
Can I file W-3 and W-2s separately?
No. Form W-3 must be submitted together with Copy A of all W-2 forms. They’re processed as a package.
Do I need to file W-3 with my tax return?
No. Form W-3 (with W-2s) goes to the Social Security Administration, not the IRS. It’s a separate filing from your business tax return.
How long should I keep Form W-3 and W-2 records?
Keep for at least 4 years after the due date or filing date, whichever is later. Best practice is to keep indefinitely.
Can I file a corrected W-3?
Yes. Use Form W-3c (Corrected Transmittal) with corrected W-2c forms. File corrections as soon as you discover errors.
Best Practices for Employers
- Use payroll software to automate W-2 generation and reduce errors
- File electronically even if not required—it’s faster and more secure
- Prepare early in January to avoid deadline stress
- Double-check everything including EIN, totals, and employee counts
- Keep excellent records for at least 4 years
- Reconcile before filing by comparing W-3 totals to quarterly 941 forms
- Use certified mail for paper filing to prove timely submission
Conclusion
Filing Form W-3 is a crucial employer responsibility. With proper preparation and attention to detail, you can file accurately and on time, ensuring your employees’ wages are correctly reported to the Social Security Administration.
Key takeaways:
- W-3 summarizes all W-2 forms for paper filing
- Electronic filing eliminates the need for W-3
- File by January 31st to avoid penalties
- Keep copies for at least 4 years
Ready to Fill Out Your W-3?
Use our free online tool to complete Form W-3 quickly and accurately.
Need Help?
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Last updated: February 9, 2026
Reviewed by Robert Chen, Payroll Tax Specialist
Verified current for 2026 tax year filing
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