Hi Macuser_22
Thank you so much for your thoughtful reply. My 1099-R does have code G in box 7- Box 2a however has an amount (explained below) and Box 5 with the after tax amount most of which rolled into Roth IRA but some went to Roth 401K.
I will go through with detail your recs when I re-enter the 1099-R again but I don't think you have all the info correct (I may not be explaining it well as I am not well versed with this kind of stuff).
Basically for years my employer allowed for me to contribute after tax dollars (nontaxable) into the "Voluntary after tax account" in my 401K. That money over years grew due to earnings (taxable). At some point a few years ago - something in the tax code changed and we were allowed to convert the after tax dollars to Roth 401K quarterly. I did not realize this until 2019 but if I moved all the money currently in there to Roth 401K - I would have to pay a hefty tax on the earnings since the earnings were significant since I had the account for so many years.
So the company plan advisor told me this method where I could basically move my entire balance out - contributions (nontaxable) to Roth IRA (no longer in my employer plan) and the earnings (taxable) to Rollover IRA (is this what you are calling traditional IRA?) which then rolled back into my 401K account (I did receive a 2nd 1099-R for the rollover back to my 401K plan). I did this the first week of January 2019.
NOW - my Voluntary after tax account is "Zeroed" - So moving forward in 2019 - Everytime I got a paycheck - I would now have a contribution balance again (nontaxable) and QUARTERLY - this money would be converted to Roth 401K (not Roth IRA, not Traditional IRA). I had small earnings over the quarter which are taxable. (So I DO have a small amount in Box 2a which represents this small taxable amount). My box 5 basically listed all my after tax contribution - a big chunk of which went to the Roth IRA (outside of my 401k) and the rest went to Roth 401k (the quarterly conversions that I did after the "zeroed" balance).
I hope this makes sense - Would you then tell me how you would enter this into Turbo tax? Sounds like I still need to split out 1099-R and enter it as three different buckets. Thank you for your kind consideration of my issue. Kelly
