This article provides current and former employees of the university with a summary of tax reminders and resources in time for tax season, including how to access and update W‑2s in Axess, locate pay statements, along with any new tax year considerations and related support resources.
Stanford Easy Pay
On March 31, 2025, Stanford introduced the new Stanford Easy Pay payment method, utilizing the third-party vendor Candex to process honoraria payments and visitor reimbursements. As a result of this transition, payees who received honoraria both before and after this date may receive separate 592-B, 1042-S, and/or 1099-NEC forms for the 2025 tax year:
- One issued by Stanford for payments made between January 1 and March 30, and
- One issued by Candex for payments made on or after March 31.
For questions regarding 1099-NEC forms issued by Candex for honoraria payments processed through Stanford Easy Pay, please contact Candex Support at @email.
New tax break for overtime pay
With the passage of the One Big Beautiful Bill Act (OBBA), employees may deduct a portion of their overtime income for tax years 2025-2028. The following summary can help employees understand the tax break who may have questions such as:
- I have an item in Box 14 of my W-2 labeled 14OT? What is this?
- How was the overtime amount labeled as 14OT calculated? The amount seems significantly lower than the amount that I received for overtime during 2025.
- Is this amount reported to the IRS?
The deductible portion of overtime is limited to the premium pay required under federal law. This means that for work hours beyond 40 in a Monday – Sunday work week the overtime “premium” or the half portion of time-and-a-half may be deductible on your federal tax return. In many cases, qualified federal overtime will be less than the overtime paid to you based on California’s overtime rules, which are more generous than federal. For this reason, your deductible overtime earnings must be separately calculated for the purposes of tax reporting.
Employers are not required to report deductible overtime on W-2 Forms but are encouraged to support employee reporting. Stanford provides qualified overtime earnings as an informational item in box 14 of W-2s, if applicable. To find this amount, sum the hours reported on the timecards from 12/16/24 - 12/14/2025. Hours worked over 40 in each week qualify as deductible overtime.
When determining the weekly sum of “work” hours, the hours recorded under the time reporting codes listed below should be included:
- Day Hours
- Day Hours Overtime
- Day Hours Double Overtime
- Swing Hours
- Swing Hours Overtime
- Swing Hours Double Overtime
- Owl Hours
- Owl Overtime
- Owl Double Overtime
Once the employee identifies the number of hours worked beyond 40 in each week, they can calculate the qualified and deductible overtime earnings for each week. They will multiply the hours over 40 by their hourly rate for that week (which can be found on the pay statement for the corresponding pay period) and then multiply the result by 0.5.
Example: If you calculate that you worked 4 hours over 40 for the week ending 12/14/2025, and your hourly rate for the pay period ending 12/15/2025 was 20.00, your qualified overtime calculation will be as follows:
5 (hours) x 20.00 (dollars per hour) x 0.5 (the “half” of time-and-a-half”) = 50.00 (overtime dollars eligible for tax break for the week)
Visit IRS.gov for more information. For personal tax advice on eligibility and itemization, consult a tax professional.
For additional questions, please submit a support request to Payroll.
Key dates
- First 2026 payday: Wednesday, Jan. 7, 2026
- Online W-2s in Axess: Available Thursday, Jan. 15, 2026
- Mailed W-2s: Sent by Monday, Feb. 2, 2026
December pay period timing
The December 16–31 pay period is paid on Wednesday, Jan. 7, 2026. Because it is paid in 2026, it will be reported on your 2026 W-2, not your 2025 W-2.
ACA reporting on your W-2
- The Affordable Care Act (ACA) requires employers to report the cost of employer-sponsored health coverage.
- This amount appears on the 2025 W-2 in Box 12, code DD.
- It is for information only and is not taxable.
- For more details about your health coverage, refer to your Form 1095-C.
W-2 distribution
Current employees
View and download your W-2 in Axess by Jan. 15:
- Sign in to Axess.
- Select Employee Center.
- Scroll to the Taxes section.
- Select View All W-2 Forms.
If you did not opt in to online delivery, a paper W-2 will also be mailed by Monday Feb. 2, 2026, to the mailing address on file with the university as of Wednesday, Dec. 31, 2025.
Review the Topic Overview: Stanford W-2 statements for more information including how to update the address for W-2s and checks.
Former employees and retirees
- A paper W-2 will be mailed to all former employees and retirees who worked at Stanford in 2025, using the mailing address listed on file with the university as of Wednesday, Dec. 31, 2025.
- To update your mailing address, contact your former supervisor or department HR administrator so your personnel record is updated. This updates Payroll and other university mailings.
- After your address is updated, request a W-2 reprint from the Financial Support Center if needed.
Form 1099-NEC, Nonemployee Compensation, is a form that payers must file for nonemployees to report nonemployee compensation of at least $600 for services performed during the course of the year.
Form 1099-MISC, Miscellaneous Information, is a form that payers must file for persons who are paid the following for Stanford-issued or Easy Pay payments during the course of the tax year ending December 31, 2025.
- At least $10 in royalties
- At least $600 or more in prizes and awards, rents, etc.
Form 592-B, Resident and Nonresident Withholding Tax Statement, is a form that payers must file for persons who received a payment with California state tax withholding. Items of income that are subject to withholding include but are not limited to payments to independent contractors, recipients of rents, endorsement income, or royalties.
For instructions on the Form 592-B, please refer to the Franchise Tax Board.
The Form 1042-S is to report the tax withheld under IRS tax code chapter 3 on certain income of foreign persons, including nonresident aliens, foreign partnerships, foreign corporations, foreign estates, and foreign trusts. 1042-S tax forms are mailed by Monday, March 16, 2026.
Submit a support request for a duplicate Form 1042.
As part of the Affordable Care Act employer mandate, Stanford is required to notify eligible employees and the IRS of available medical coverage. This notification is called the IRS Form 1095.
Resources:
- Read Frequently Asked Questions on Cardinal at Work about the Form 1095.
- For questions about ACA, including the ACA 1095 Portal, ACA-eligibility and the ACA Plan, contact the University HR Service Team online or call 877-905-2985 or 650-736-2985.
Payday and tax year timing
- The paycheck for the Dec. 31, 2025 pay period will be paid on Wednesday, Jan. 7, 2026.
- Because this paycheck is issued in 2026, it counts toward the 2026 tax year.
Withholding and deductions that restart in 2026
- Social Security tax will begin again in 2026, even if you reached the 2025 maximum.
- 2026 benefit deductions, including retirement contributions, will begin with the Jan. 7 paycheck.
Update your withholding in Axess
You can update your federal or state income tax withholding at any time:
- Sign in to Axess.
- Go to Employee Center.
- Select View/Edit Withholdings.
Exempt status renewal deadline
- If you claimed exemption from federal or state income tax withholding for tax year 2025 and want to continue for tax year 2026, submit new forms in Axess by Monday Feb. 16, 2026.
- File Form W-4 (federal) and Form DE-4 (California), as applicable.
Resources:
- New federal and state withholding tax rates are in place for 2026.
- See How To: Declare Federal and State Income Tax Withholding (W-4/DE-4) in Axess.
- Find the delivery schedule for 1099s, W-2s, and other annual tax forms.
- Stanford employees manage their mailing address in StanfordYou to ensure W-2 Forms and other payroll information, benefits, and other forms and checks are mailed to the address on file.
- Cardinal at Work summarizes the tax forms you may receive.
- For questions about the 1099 or other tax documents, please refer to the IRS website.
- For assistance, please submit a support request.