My wife retired in 2022 from a state university professor position. She was given a five-year "buyout" of about $40,000 each year. ($20,000 the first year due to it being half of the year). TurboTax is treating this as an IRA distribution because it is reported on a 1099-R.
Is that correct? Since she still worked in 2022 that strikes me as being potentially higher liability.
Although, she is 65 so maybe it doesn't matter?
Anyone's help will be greatly appreciated.
