MarilynG1
Expert Alumni

Retirement tax questions

Your Roth IRA may considered a Roth 401K if it is a plan offered through your employer.  If this is the case,

 

(1) Yes, this is a Rollover from a 401K to a Roth 401K, through your employer plan.

 

(2) No, this is not a rollover to a Roth IRA.

 

On your 1099-R reporting this, you may have an amount in Box 5 designating the amount of your after-tax contributions contained in the Total Distribution amount in Box 1.

 

You will only be taxed on your pre-tax rollover amount (difference between Box 1 and Box 5), which may be shown in Box 2a.  The net effect on your taxes would be the same either way. 

 

Click this link for more info on 401K to Roth 401K Rollovers.

 

 

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