11206: KS - KPERS Contribution on W-2 Requires Direct Entry

How do I enter a taxpayer contribution to the Kansas Public Employees’ Retirement System (KPERS)?

For a KPERS contribution to flow to KS SCH S and to the KS40, the Kansas wages must exceed the federal wages and the contribution must be correctly entered on screen W2.

If the taxpayer’s W-2 Box 14 displays an amount indicated as “KPERS” or "WPERS" -

• Enter it in field 14 Other of screen W2 as KPERS or WPERS.
• The contribution will flow to KS SCH S line 1 if the Kansas income in W2 field 16 State wages exceeds the federal income in field 1 Wages, tips.
• If the contribution is not equal to the difference between federal and KS wages, a Note is produced advising you to verify the accuracy of the W-2. If necessary, you can use the override field A2 on KS screen A (Schedule S Part A).

"KPERS" and "WPERS" are the field indicators that KSDOR specifies for a KPERS contribution. The KSDOR is actively working with payroll companies to ensure that KPERS contributions are represented on the W-2 in a consistent way.

If the taxpayer’s W-2 uses something other than "KPERS” or "WPERS" to identify a contribution that you know to be a KPERS contribution, either

• Enter the contribution on override field A2 on KS screen A (Schedule S Part A).
• Or have the taxpayer contact the payroll company for a revised W-2, one that specifies “KPERS” or “WPERS” as the contribution, and use that for W2 data entry.

Always check the KSNOTES page for KPERS notes after completing data entry. You may find additional guidance there.

For the KS40, Drake Software cannot assume that the difference between federal and KS wages is caused by contributions to KPERS. Manual entry of KPERS contributions is necessary for full disclosure of pretax deductions in order to ensure the accuracy of calculations in the Kansas tax program.