volleygal63
Returning Member

Retirement tax questions

Hi thank you for responding.  Your answer made the most sense.  I am a retired school teacher in TX.  The way it TX Teacher Retirement works is if you serve 30 years + your age and it ='s to 80 then you can retire.  There is no penalty for early distribution.  So the other two answers did not make sense to me.  TX Teachers are not on a normal pension plan like other pensions.   It's based on age and years of service.  

Part 2 is I do run a small business and it did say I owe $602 when I completed my business portion of my taxes.  So that being all I owed, I was just gonna pay it and go on.  (fyi; i am using turbo tax home and business and used if for the last 5-10 years).

Part 3 is when I put in my personal income from my 1099-R then it said I owed $5011 so that is where the extra amount owed came came from.  But on the next screen it said based how you answered box 7 from your 1099-R, you don't have to pay any extra taxes.  I answered in box 7 a #2.  But the top of TT screen said I owed $50ll.  So I freaked a little bec I didn't do anything different than what I did the last two years of retirement.  And I got $3500 back in return. This year I owe the $602.  

Part 4 so for grins I remembered the box said you don't pay any extra taxes on the amount so I completed my taxes to see what that meant and this is what I got.  see the pic I included. Thanks for any help you can give me. Also are we paying a higher tax for 2019; because 2018 I paid 3.06%    Thanks again!!

Turbo Tax Pic.jpg