What is the Treasury Tipped Occupation Code on my W-2?
The short answer
Example math
Server W-2: box 12 TP = $20,000; box 14b = 102 (Wait staff). MAGI under the phase-out.
- Occupation code present and listed: the eligibility gate is open if the other rules are met.
- Deduction before phase-out = min($20,000, $25,000) = $20,000.
- Illustrative savings: enter your own marginal rate in the calculator (for example, 22% → ≈ $4,400, illustrative only). Social Security and Medicare still generally apply to those tips; the deduction doesn’t change that.
Contrast: the same TP dollars with box 14b showing 000 alone means those tips are not qualified, per the W-2 instructions.
Not tax advice.
Check your estimate
Answer the occupation question from the IRS list and your box 14b code; don’t guess “yes.”
Open the calculator
Plain English
What box 14b is for
The 2026 W-2 instructions describe box 14b as Treasury Tipped Occupation Code(s). Use box 12 code TP together with box 14b when figuring Schedule 1-A Part II. See W-2 box 12 code TP.
Examples TipMax users see (confirm on the live list)
- 101 Bartenders
- 102 Wait staff
- 104 Dining room attendants / bartender helpers
- 107 Fast food and counter workers (barista example on the IRS table)
This page is not the legal list. Check the IRS tipped occupations list.
Common mistakes
- Ignoring box 14b because TP looks familiar.
- Assuming a friend’s code applies to your dual-role job.
- Treating TipMax as able to override payroll’s box 14b.
Official sources
Last verified:
Sources checked: IRS tipped occupations list, 2026 General Instructions for Forms W-2 and W-3, IRS tip recordkeeping page, and Schedule 1-A. Confirmed: box 14b shows Treasury Tipped Occupation Code(s) on 2026 Forms W-2, and code 000 alone means the tips are not qualified.