How to Find Your AGI Using Your W-2

Adjusted Gross Income (AGI) is a foundational figure in personal finance and taxation. It determines eligibility for various tax credits and deductions, which can reduce an individual’s tax liability. AGI also influences qualification for financial programs like student aid, healthcare subsidies, and loan applications. Understanding AGI is important, as it is often misunderstood, especially regarding information on a W-2 form.

Understanding Adjusted Gross Income

Adjusted Gross Income (AGI) represents an individual’s gross income minus specific deductions, often called “above-the-line” deductions. This figure is an intermediate step in calculating an individual’s final taxable income. AGI is a benchmark for various financial purposes, including eligibility for tax credits like the Child Tax Credit or the Earned Income Tax Credit. Many governmental and private programs, such as student loan repayment plans or healthcare premium assistance, utilize AGI to assess an applicant’s financial standing and qualification for benefits. A lower AGI can lead to increased eligibility for these tax benefits and programs.

Why the W-2 Does Not Directly Show AGI

A common misconception is that Adjusted Gross Income can be directly found on a W-2 form. The W-2 form primarily reports an employee’s annual wages, tips, and other compensation, along with taxes withheld by their employer. While the W-2 is a starting point, it does not encompass all income sources an individual might have, nor does it account for deductions that reduce gross income to arrive at AGI. AGI is a comprehensive figure that factors in all taxable income and then subtracts specific adjustments, making it a broader calculation than what is reflected on a single W-2. The W-2 is only one component in the overall calculation of AGI.

W-2 Information Relevant to AGI

While a W-2 does not directly display AGI, it provides essential figures for its calculation. Box 1, “Wages, tips, other compensation,” is the most relevant figure for federal income tax purposes, representing an employee’s taxable income from their employer, including salary, bonuses, and other taxable benefits, while also accounting for pre-tax deductions like contributions to retirement plans or health insurance premiums. Box 5, “Medicare wages and tips,” may sometimes be higher than Box 1, but Box 1 remains the primary W-2 component for AGI. Box 12 also contains codes that report different types of compensation or benefits.

Other Income and Adjustments for AGI

Beyond the W-2, AGI considers all sources of taxable income and then subtracts specific adjustments. Taxable income can originate from various sources, including interest from savings accounts or dividends from investments. Income from capital gains, self-employment, rental properties, or retirement distributions also contributes to an individual’s total gross income. After totaling all gross income, “adjustments to income,” also known as “above-the-line” deductions, are subtracted to arrive at AGI; examples include contributions to a traditional Individual Retirement Arrangement (IRA), student loan interest paid, or contributions to a Health Savings Account (HSA). These adjustments directly reduce gross income and are taken regardless of whether an individual itemizes deductions or takes the standard deduction.

Locating Your AGI

Since AGI is a calculated figure rather than a reported amount on a single form like a W-2, the most direct way to find it is on your filed federal income tax return. For tax years 2020 through 2024, AGI is reported on Line 11 of Form 1040. If you do not have a copy of your filed tax return, you can obtain an official tax transcript from the Internal Revenue Service (IRS). The IRS offers various methods to request a transcript, including online access, by mail, or through an automated phone service, with delivery typically taking 5 to 10 business days. If you utilized tax preparation software or a professional tax preparer, your AGI would be readily available within the software or from your preparer’s records.