How YTD is calculated
Add the current-period amount to the YTD total from the previous stub. For a regular schedule this equals the period amount times the number of pay dates so far this year.
Why it matters
Employees use YTD to track annual income and taxes. Lenders and landlords compare YTD gross against the stated salary. The W-2 at year end must match the final YTD figures.
Common mistakes
Starting YTD from the hire date in the wrong year, forgetting a bonus in the YTD column, or continuing Social Security tax after wages pass the wage base.