leable
New Member

Need Assistance on Employer Pre-Tax Retirement Contributions

Hello. So this is pertaining to a W-2 Form regarding Box 13 and 14. Retirement Plan and "Other" category

Background:
I worked for a city government during the 2018 tax year. This employer did NOT contribute to Social Security, however instead they required all employees to contribute a specific percentage of salary to the City Retirement Fund. With that being said, the city government deposited $2139.08 into my city retirement account during the 2018 tax year. In November 2018, I elected to resign from my job and split employment with the city. The City Retirement Fund contacted me and informed me the retirement account needs to be rolled over into another bank/savings/investment account as the City can not manage accounts for employees who separated employment with the City.

With that being said, I elected to roll over the $2139.08 into an already existing 457 Deferred Compensation plan under my name. I did this to avoid the large 20% Federal tax fee, as this money was pre-tax contributions. The 457 plan is for pre-tax contributions.

Current Issue:
On my W-2 Form with the city government, It is showing an X in Box 13 for "Retirement Plan" and under Box 14 (Other) it list the $2139.08 amount with a code for "PRETXRET" which stand for Pre-tax retirement. My issue is that I believe this money is being taxed, however since I no longer have the retirement account with the City government, I shouldn't have to pay a tax, correct? Since that money was rolled into an existing 457 Differed Comp account, that money shouldn't be tax. Can someone help or advise if I'm actually playing tax on this $2139.08? Thank you.

Retirement tax questions

The amount in box 14 is informational only and does not affect your return.  Amounts in box 14 are not taxed. 

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leable
New Member

Retirement tax questions

Ah thank you very much. I was not aware of that. Thanks for the help.