- Employees can contribute up to $19,500 to their 401 (k) plan for 2021 and $20,500 for 2022.
- Anyone age 50 or over is eligible for an additional catch-up contribution of $6,500 in 2021 and 2022.
- The general limit on total employer and employee contributions for 2021 is $58,000 (catch-up at $64,500)
I'm not certain what the boxes say on your 1099R but the limits are above. You indicate the contribution was made by your employer and you made none. If your employer contributed say $70K to your 401k then you would have to withdraw $12K (because the limit is $58K) and it would be taxable to you.
Distribution Code E—Distributions under Employee Plans Compliance Resolution System (EPCRS).
The procedure for correcting excess annual additions under section 415 is explained in the latest EPCRS revenue procedure in section 6.06 of Rev. Proc. 2019-19, 2019-19 I.R.B. 1086,
