An employee worked for a NJ Hospital in 2007 and had gross income of $66,930. Total contributions to the employee 403B plan was $13,846. The W-2 lists Federal Wages of $53,084 ($66,930 minus $13,846). OK. The W-2 lists NJ State wages of $63,879. How did they arrive at this figure -$63,879 ??? Shouldn't it be the gross wages of $66,930 since NJ does not allow a deduction for 403B plans. I'm confused!! Help!!