I had a company 401K that I contributed to for about 20 years, and some of the early contributions to that 401k were ‘after tax’. Post retirement, in 2024, I withdrew the ‘after tax’ $ (say that was $10k) and converted them to a Roth IRA. I was also required to withdraw the earnings from those ‘after tax’ $ (say that was $40k) and those were rolled over to a rollover IRA. The Form 1099-R shows:
Box 1 (Gross Contribution) of $50k
Box 2a (Taxable amount) and 2b are blank
Box 5 (Employee contrib/desig Roth contrib or insurance premiums) showing $10k and
Box 7 (code) shows G-Direct rollover and rollover contribution.
In Turbotax, it asks:
Is this 1099-R reporting a rollover of funds from a 401(k), 403(b) or governmental 457(b) plan to a designated Roth 401(k) or Roth 403(b) plan?
The available answers are Yes and No. However, in my case, some of the money went to a Roth 401(k) and some went to a Rollover IRA, so how do I answer that question (it’s not a Yes or No question for me)?
One further question related to this, in the Turbotax ‘Picture of Your 2024 Income’, that $50k shows as a line item and drives up my 2024 Total Income by $50k (even though I don’t get taxed on it). Turbotax never did ask me about where that other $40k went (ie that it went into a Rollover IRA). Shouldn’t Turbotax ask me whether the $40k went into a rollover IRA?
Your input on this is greatly appreciated.
