My employer has a type of 401K plan called "Voluntary After Tax Contribution" which we can elect to put in after tax dollars up to $15,645/year. I have been contributing for years but at some point a few years ago, they allowed quarterly conversions of this money to a Roth 401K (earnings taxable).
Since I had contributions in the account for many years (nontaxable contribution bucket) and many years of earnings (taxable amount), a financial advisor for our company advised me to move the contributions (nontaxable) to a Roth IRA. The earnings (taxable) was then moved into a Rollover IRA then moved back into my 401K plan. Thirdly - for tax year 2019 - I continued to make my regular contributions and quarterly - they would convert to a Roth 401K.
I received only ONE 1099-R for all the money that I just described above. The money was moved into three different types of accounts (Roth IRA), (Rollover back to my 401K), (Roth 401K). In TurboTax -when I entered this 1099R - it asks "Is this 1099-R" reporting a rollover of funds from a 401K plan to a designated Roth 401K plan? (Y or N). Well the answer is SOME of the money was moved into Roth 401K plan so how do I deal with this situation?
Someone said to break up the amounts but do the distribution codes stay the same and the check boxes stay the same? So confused. Any help by the community would be very much appreciated it!! Thank you in advance.
