The retirement plan was on the 'old' federal employee plan (before IRAs, etc). Every year the 1099-R lists Gross Distributions in Box 1, and 'UNKNOWN' in box 2a (taxable amount). Since March 1, 2014, we have used the Simplified Method Worksheet (SMW) to determine the taxable amount, even in years we have had a paid accountant.
For example, say the distributions were $100k annually, paid out in monthly installments over the year. No initial lump sum distribution was paid. Employee contributions were about $150K. According to our calculations on the SMW (since the beginning of retirement), we take about $5K (exact same amount each year) off of the annual distributions to get our taxable income of approximately $95K. We then subtract the $5K from the Employee contributions to see how much is left in that category.
this year, for some reason, the Turbo Tax form calculated the taxable income, using the numbers on the SMW, and came up with zero taxable income.
I'm wondering if I can find out if there is a glitch in the system, or if I somehow entered something incorrectly?
