Sage 50 Year-End Guide: How to Print W2 Forms Correctly

When the end of the year rolls around, one of the most critical responsibilities for any employer is preparing and printing W2 forms in Sage 50 for their employees. If you're using Sage 50, the process can be seamless—if done correctly. This comprehensive year-end guide will walk you through every step of printing W2 forms in Sage 50, ensuring you stay compliant with IRS regulations and keep your records accurate.

Understanding the Importance of W2 Forms

A W2 form summarizes an employee’s annual wages and the amount of federal, state, and other taxes withheld. It must be:

• Delivered to employees no later than January 31st

• Filed with the SSA (Social Security Administration)

• Submitted to state/local tax authorities when applicable

Failure to properly issue or file W2s can result in IRS penalties, audits, and delays in employees filing their tax returns.

Before You Begin: Prepare Your Sage 50 System

Make sure your Sage 50 setup is ready for W2 processing:

• Active Sage 50 Payroll Subscription

• Latest Payroll Tax Table Updates Installed

• Aatrix Tax Forms (integrated with Sage 50 for tax form processing)

• IRS-Approved W2 Forms (4-part or 6-part depending on your filing needs)

• Printer ready for pre-printed forms or blank W2 paper with compatible envelopes

Step-by-Step Instructions: How to Print W2s in Sage 50

Step 1: Review and Finalize Payroll Data

Go to your Payroll Reports and confirm all employee compensation, deductions, and taxes have been recorded accurately. Ensure all payroll entries are:

• Posted correctly

• Within the correct tax year

• Free of errors or duplications

This step is vital to ensure your W2s reflect accurate year-to-date totals.

Step 2: Verify Employee Information

Under Maintain > Employees/Sales Reps, check that:

• Names are spelled correctly

• Social Security Numbers are valid

• Addresses are current

• Filing statuses and allowances are accurate

All this data flows directly into the W2 forms.

Step 3: Launch the W2 Form Process

1. Navigate to Reports & Forms > Forms > Tax Forms

2. Choose Federal Forms > W-2s/W-3s

3. Select the correct tax year (e.g., 2024)

4. Sage 50 will launch Aatrix Tax Forms Viewer

Step 4: Choose Your W2 Filing Method

You’ll be prompted to choose how to process your W2s:

• Print W2s for mailing

• eFile using Aatrix

To print manually, select “Print” and continue. If you’re filing electronically, the eFile option will walk you through SSA submission.

Step 5: Review W2 Data

Aatrix will display a spreadsheet with each employee’s W2 information:

• Box 1: Wages

• Box 2: Federal income tax withheld

• Box 3–6: Social Security and Medicare data

• Other Boxes: Retirement plans, dependent care benefits, etc.

Make corrections directly in the grid if necessary. Review thoroughly before continuing.

Step 6: Perform Alignment Test and Print W2s

Before printing actual W2s:

1. Perform an alignment test using plain paper

2. Follow the on-screen instructions to align your printer properly

3. Adjust margins if needed

Once aligned, insert your official W2 paper and print the required copies:

• Copy A – for SSA

• Copy B and C – for employees

• Copy D – for employer

• Copy 1 & 2 – for state/local authorities (if applicable)

Key Deadlines for W2 Printing and Filing

• January 31st – Deadline to provide W2s to employees

• January 31st – Deadline to file W2s and W3 with SSA (both paper and eFile)

• State deadlines vary — check with your state’s Department of Revenue

Missing these dates can result in fines up to $560 per form, depending on the delay.

Common Issues and How to Fix Them

1. Employees Missing from the W2 List

Make sure they were paid during the year and have complete information in their profile.

2. Misaligned Prints

Use the Aatrix alignment wizard and confirm your printer settings match the form layout.

3. Incorrect Totals

Double-check your payroll reports. Errors often stem from unposted or duplicated entries.

4. Can’t Access Tax Forms

Update your Sage 50 and Aatrix modules. Disable antivirus temporarily if it’s blocking the viewer.

Best Practices for Smooth Year-End Filing

• Back up your Sage 50 company data before starting the W2 process

• Run a Payroll YTD Summary and match totals against W2s

• Order W2 forms and envelopes early to avoid delays

• Keep digital PDF copies of all W2s for at least 4 years

• Use secure employee portals to distribute digital copies if possible

The Benefits of eFiling with Aatrix

Though printing is still common, many businesses are moving toward eFiling through Aatrix for:

• Faster filing with SSA and states

• Instant delivery to employees (via secure email or portal)

• Digital archiving for compliance

• Reduced paper and postage costs

If you have more than 10 employees, the IRS requires you to eFile starting in 2024.

Read Also:- Recover Lost Data in Sage

Final Thoughts

Completing your W2s doesn’t have to be stressful. With Sage 50 and Aatrix, you have the tools to handle year-end reporting with confidence. Just follow each step, review your data carefully, and ensure alignment before printing. Whether you're printing or eFiling, being prepared is the key to closing the year on a high note.