jessica15217
Feb 2, 2010, 01:12 PM
Why are my PA State Wages higher than my Federal Wages?
AtlantaTaxExpert
Feb 26, 2010, 03:37 PM
Probably because certain pre-tax deductions (like paying for daycare or medical insurance or medical costs or contributions to 401K/403B or similar pensions) are NOT recognized by Pennsylvania.
Hence, these deductions are added back into the state wages listed on the bottom of the W-2.