multiple 8881s?

[8881questioner]

I want to claim the "Small Employer Auto-Enrollment Credit" for both my business and my spouses (separate) business. Do I need to submit two 8881s or somehow type $1000 into line 9 instead of $500?

[PatriciaV]

According to the IRS Instructions for Form 8881, the Small Employer Auto-Enrollment Credit is $500 for the first tax year that an eligible employer first includes an eligible automatic contribution arrangement (as defined in section 414(w)(3)) in a qualified employer plan. 

Based on this definition, each business would submit Form 8881 in order to claim the credit for that business. TurboTax automatically enters $500 on Line 9 if you check the Yes box to indicate an auto-enrollment option was provided. You cannot override that amount.

[8881questioner]

Thanks! Any guesses how to force Turbotax to generate a second 8881?

[DaveF1006]

To clarify, what version of TurboTax are you using? Online or desktop?

[8881questioner]

Desktop Premier on Mac

[DaveF1006]

This is the most reliable way to create a second Form 8881 on a Mac.

1. Click the Forms icon in the top right to enter Forms Mode.
2. Look at the list of forms on the left. If you already have one Form 8881, it will be listed there.
3. Go to the top menu bar (outside the TurboTax window, the Apple menu bar) and select Forms > Open Form.
4. In the search box, type 8881.
5. When you select it, TurboTax should ask if you want to create a "New Copy". Select this.
6. You can then name the copies (e.g., "His Business" and "Her Business") to keep your records clear.

[8881questioner]

Thanks, but Turbotax did not ask if I wanted to create a new copy. It just took me to the one I already filled out.

[PatriciaV]

The On-Demand Tax Guidance for Form 8881 states: "If this credit...relates to more than one of these activities, enter the qualified startup costs on line 1. " In other words, do not link Form 8881 to Schedule C. Instead, combine the information for both businesses on Form 8881.

Also, "This credit must be subtracted from the expense amount claimed for small employer pension plan startup costs on a Schedule C, Schedule F, or Form 4835." Because you are unable to link Form 8881 to more than one business, the program will NOT handle this adjustment automatically.

[DeVille63]

Form 8881 Credit for Auto-Enrollment Smart Worksheet only permits one $500 credit. Using override to total $1000 for each of 2 auto-enrollment plans (e.g. husband's separate from wife's) generates an error.  This is for the auto-enrollment credit, not startup costs. Any other ideas?

[PatriciaV]

You are correct. Form 8881 Part II is limited to a $500 credit. Your only option to increase that credit would be if a partnership or S-Corp also reported a Small Employer Auto-Enrollment Credit.

[edited 3/3/2026 | 1:46pm PT]