Check code TT and code TP before the 2026 W-2s go out
Halfmark recomputes qualified overtime (box 12 code TT) workweek by workweek from your payroll registers and hours, using the FLSA regular rate, and shows where your payroll provider's numbers differ. It also totals tips for code TP and checks the box 14b occupation codes.
- Runs in your browser; payroll data isn't uploaded
- No sign-up
- Every rule linked to its IRS or DOL source
Free to use, no account, and that core will stay free. We may add optional paid extras later.
Workweek detail · Maria (fictional) · $17.50/hr + $100 bonus
| Week of | Hours | Regular rate | Over 40 | TT |
|---|---|---|---|---|
| 06/07/2026 | 44.50 | $18.62 | 4.50 | $41.90 |
| 06/14/2026 | 39.00 | $18.78 | ||
| 06/21/2026 | 46.25 | $17.50 | 6.25 | $54.69 |
| Recomputed vs. provider (base rate only) | +$2.52 | |||
Illustration with made-up numbers. TT = hours over 40 × ½ × regular rate.
- Halfmark is a worksheet tool. It is not tax or legal advice.
- The employer remains responsible for correct Forms W-2, even when a payroll provider prepares them.
- Review results with a CPA or your payroll provider before entering adjustments or filing.
- Halfmark is not affiliated with the IRS or any government agency.
- IRS FAQs (such as FS-2026-13) are not binding law; they are not published in the Internal Revenue Bulletin.
Why the provider's code TT can be off
Tax year 2026 is the first year code TT and code TP are required on Form W-2 with no penalty relief (FS-2026-13 Q20). Common problems:
Bonuses left out of the regular rate
Non-discretionary bonuses, commissions and shift pay raise the regular rate. Halfmark apportions them back to the weeks they cover (29 CFR 778.209) and flags overtime that was paid short.
State overtime counted as federal
California daily overtime and double time are not qualified overtime. Only the FLSA weekly premium is (FS-2026-13 Q16). Halfmark separates the two.
Biweekly periods averaged
A 30-hour week and a 50-hour week aren't 80 hours with no overtime. Each 168-hour workweek stands alone (FS-2026-13 Q13). Halfmark uses daily or weekly hours.
A mid-year provider switch
Code TT and TP cover the whole year. Halfmark computes each provider's part and gives the amount the new provider still needs.
Tips and box 14b
Code TP is all cash tips reported, including tips from nonqualifying jobs. Box 14b takes up to two codes and must include 000 if any tips were nonqualifying. Halfmark checks both.
Errors found after filing
Mark Forms W-2 as issued and Halfmark lists W-2c candidates, noting differences within the $100 de minimis safe harbor (the employee can elect out).
How it works
Add files
Payroll registers from every provider used this year (CSV or Excel), daily or weekly hours, and the provider's year-to-date code TT / TP if you have it. Presets for Gusto, QuickBooks Payroll, ADP, OnPay, Toast, Patriot and Square, or map columns yourself.
Set statuses
Mark exempt employees and 20%+ owner-managers, tip credit per hour, and occupation codes. You decide these; Halfmark doesn't classify workers.
Review
Per employee: FLSA overtime hours, the regular rate each week, code TT by provider, the premium actually paid, and flags with the reason and source.
Export
Workweek workpaper, provider adjustment values, W-2c candidates and tips summary (CSV), plus a method memo PDF with intermediate values and IRS links.
Halfmark does not prepare or file Forms W-2 or W-2c, doesn't connect to payroll providers, and doesn't compute salaried nonexempt, 207(j)/(k)/(o) or federal employees. Provider presets are based on common column names and haven't been verified against every provider's exports, so check the mapping. Method and limits
The rules, with sources
Code TT
FLSA hours over 40 × ½ × FLSA regular rate, per workweek
IRS FS-2026-13 Q12–Q16; 2026 W-2/W-3 instructions (“only the ‘half’ portion of ‘time-and-a-half’”). Guide · Regular rate · State overtime
Code TP and box 14b
TP = total cash tips reported · 14b = up to 2 TTOCs, 000 if any nonqualifying
2026 W-2/W-3 instructions; T.D. 10044 (26 CFR 1.224-1). Guide and full code list
Questions
Who is it for?
Bookkeepers, payroll administrators and CPAs who need to check the code TT and TP amounts a payroll provider will put on 2026 Forms W-2, especially for restaurants and other employers with overtime, bonuses or tips.
Is my payroll data uploaded?
No. Files are read and calculated in your browser tab. The page sends just one thing to this website: an anonymous count when you download an export (the word “csv” or “pdf”). See the privacy policy.
Will the result be accepted by the IRS?
Halfmark is not affiliated with the IRS and can't promise any outcome. It applies the published rules to the data you load and shows every intermediate value so you or your CPA can check it. The employer remains responsible for its Forms W-2.
Is it free? Will it stay free?
Yes. Every current feature is free and needs no account, and that core will stay free. We may add optional paid extras later.
Which payroll providers does it read?
Any CSV or Excel export with one row per paycheck or one row per earning line. Presets guess the columns for Gusto, QuickBooks Payroll, ADP, OnPay, Toast, Patriot and Square, but they haven't been verified with every export. You can change every column mapping. Halfmark isn't affiliated with any of these companies.
Does it file W-2 or W-2c forms?
No. It gives you the values and a workpaper; corrections are made in your payroll system or by your provider.