Thanks for the response, but I don't understand the answer.
I don't believe that 100% of my income is taxable by NY State. I have never lived in NY. Only once in my career did I have to file a NY State tax form to pay taxes for days that I spent physically working in NY. I live in Virginia and while I was employed by a NY-headquartered firm, I worked for clients in many states including my home state.
Also, there are several sources that state that a typical 409A non-qualified plan distribution that is paid out over 10 or more years is only subject to state tax in a person's home state. I know NY doesn't say that in their form, but it seems to be in the federal code (section 114 of Title 4 of the US Code)
So I still can't understand why I would allocate these earnings to NY state instead of Virginia.
