Retirement tax questions

Thanks very much.  Yes, I agree we are subject to a higher Medicare tax which the employer has, in fact, withheld in full.  So, we're even on the Medicare tax that's payable.  But for some reason TurboTax thinks the higher number in Box 5 also means we have to pay a higher federal income tax even though the the benefits in question are payable for another year or two.  Does this sound like a glitch in the product?