The Form BA-11 , Gross Earnings Report, is used to obtain the actual gross earnings of a sample group of covered employees. The data collected in the gross earnings is used to estimate future tax income and to compute taxes owed for the financial interchange between the Railroad Retirement and Social Security/Medicare programs.

Gross earnings amounts consist of all earnings taxable under the hospital insurance portion of the Tier I tax rate. This includes earnings above the taxable limit, sick pay and miscellaneous compensation.

Detailed instructions for completing Form BA-11 are located on the form.

Reporting Requirements

Each employer is required by law (20 CFR 209.13) to report the gross earnings for each employee on the payroll whose social security number ends with the digits “30”. This information is an integral part of the data needed to compute taxes owed in the financial interchange with the Social Security Administration and the Centers for Medicare & Medicaid Services (CMS), and to estimate future tax income.

Due Dates and Frequency of Reports

Gross earnings are to be reported for the same periods as used in determining the employer’s annual report of creditable service and compensation (Form BA-3). The gross earnings report for the preceding calendar year is due the last day of February of the following year. Gross earnings reports must be accompanied by Form G-440 , Report Specifications Sheet.

All employers are to submit their reports annually with monthly, quarterly, or annual breakdowns. Employers with 5,000 or more employees on their payroll during the year are required to provide a monthly or quarterly breakdown of the year’s earnings. Employees with fewer than 5,000 employees may submit only an annual amount, although a monthly or quarterly breakdown is preferable.

Employers with No Employees with SSN Ending in "30"

Form BA-11 is not required if you have no employees with social security numbers ending with the digits “30.” Instead, check the appropriate box on the Form G-440 submitted with your Form BA-3 , Annual Report of Creditable Compensation.

Report Media Options

Employers have the option of reporting by one of the following methods:

• 3480 or 3490 compatible cartridge (preferable);
• CD ROM in ASCII format;
• 3½ floppy diskette in ASCII format;
• Paper Form BA-11, Report of Gross Earnings;
• Secure E-mail; or
• File Transfer Protocol (FTP)

Please See Part V, Chapter 1 for more information on filing options.

Employers who are not able to submit their reports on a tape cartridge, or who have few employees to report, may submit a paper Form BA-11. However, we encourage the use of the Employer Reporting Program released by the Quality Reporting Service Center (QRSC). If you need an updated copy contact: 

Common Errors to Avoid

Below are some helpful hints on how to avoid errors we frequently have found on the Form-BA11.

• Do not limit the amounts in the gross earnings report to the annual Tier I or Tier II creditable maximum amounts for the year.
   
• Ensure that the gross earnings amount reported for an employee is not less than the Tier I amount reported for the employee for the same year.
   
• Gross earnings reported on Form BA-11 and creditable compensation reported on Form BA-3 must both be reported on the same basis, either "paid" or "earned."
   
• Be sure to include in the gross earnings report any new employees hired in the year with a social security number ending in “30”.
   
• Be sure to list all subsidiary BA numbers included in the gross earnings report on Form G-440, even if one or more BA numbers have no employees with a "30" social security number.

Help with Gross Earnings Reports

Employers who have difficulty with any of the Labor Reporting Instructions for gross earnings reports should contact:

Bureau of The Actuary
Division of Benefit and Employment Analysis
Railroad Retirement Board
844 North Rush Street
Chicago, Illinois 60611-2092