Texas TRS retired pay is a Qualified Plan.
Per the Teacher Retirement System of Texas Benefits
Handbook, https://www.trs.texas.gov/TRS%20Documents/benefits_handbook.pdf,
page 2:
The plan is administered as
a qualified governmental retirement plan under the provisions of Section 401(a)
of the U.S. Internal Revenue Code of 1986, as amended. In addition, monthly
member contributions are made on a pre-tax basis, meaning that at the time you
receive your salary, you do not pay federal income tax on the portion of your
salary used to make the contributions. Federal income tax on the contributions
and interest is deferred until you receive a distribution from TRS, such as a
refund or a retirement annuity. Amounts accumulated in your member account or
your retirement benefits become taxable income in the years in which they are
paid to you. As a governmental plan, TRS is not an “ERISA” plan under the
federal Employees Retirement Income Security Act of 1974.
To enter your 099-R form:
- The easiest way to get to the 1099-R entry screen is to simply search for 1099-R (upper- or lower-case, with or without the dash) in your TurboTax program and then click the "Jump to" link in the search results.
- Then answer Yes, and click Continue and follow the on-screen instructions to either import or type in your 1099-R form.
- If you've already previously entered this form, you'll come to the Your 1099-R Entries screen. Here, you can either edit an existing 1099-R entry, or click Add Another 1099-R to add another one.
