How do I enter 24 years of military service and 22 years of US Postal Service?

[dukes0721]

Only the OPM information appears during the State return portion

[MaryK4]

Can you clarify which state? @dukes0721 

[dukes0721]

Oregon

[DaveF1006]

When entering your combined service history into Oregon PERS or a standard state application, it’s important to know how your two federal careers fit with Oregon’s requirements. Here is how to report your two 1099 R's and how to report your years of service in the Oregon return.

1. Enter the Income (Federal Section)

 You should have one 1099 R  for your military retirement and one for your USPS (FERS) retirement.

1. Go to Federal > Wages & Income.
2. Scroll to Retirement Plans and Social Security and select IRA, 401(k), Pension Plan Withdrawals (1099-R).
3. Enter your Military 1099-R and your USPS 1099-R separately.
4. Crucial Step: When entering the Military 1099-R, TurboTax will ask "What type of plan is this?" Be sure to select Military Retirement. This triggers the specific tax breaks for veterans.

2. Claim the Oregon Subtraction (State Section)

Oregon allows a Federal Pension Income Subtraction. Because you have a mix of pre-1991 and post-1991 service, TurboTax needs to calculate how much of your pension is tax-free in Oregon.

1. Go to the State Taxes tab and start the Oregon return.
2. Look for a screen titled "Here's the income that Oregon handles differently" or "Federal Pension Subtraction."
3. TurboTax will ask for your "Total Months of Federal Service" and "Months of Service before October 1, 1991."
4. Your 46-Year Calculation:

• Add your military months and your USPS months together. 
• Only the months served before October 1, 1991, count toward the tax-free percentage.
• If you have overlapping months (e.g., you were in the Reserves while at the Post Office), do not count those months twice.

As a FYI, if your 1099-R from DFAS or OPM has an empty Box 16 (State Distribution), TurboTax might get confused and think $0 is taxable. Manually enter the same amount from Box 1 into Box 16 and select OR as the state. This turns on the Oregon module so your military subtraction is applied correctly.