1099 2a Unknown

[user17734332772]

I don't understand how to fill this out. After I go through the questions, I believe it's for the simplified method, it tells me I can't fill it out because of my age. I'm a disability retiree from OPM, and I was under retirement age. Thanks

[DaveF1006]

If you are retired on disability and have not yet reached the "Minimum Retirement Age" for your specific OPM plan, the IRS treats this as Wages, not a Pension. Even though it comes on a 1099-R, the income is reported on the same line as W-2 wages (Line 1 of your 1040). Here is how to enter this.

1. Enter the 1099-R exactly as it looks: * Leave Box 2a blank (do not type "Unknown" or "0").
2. Check the box in Box 2b that says "Taxable amount not determined."
3. Verify Box 7: It should have a Code 3 (Disability).
4. The Critical Question: After entering the form, TurboTax will ask a series of questions. Look for one that asks: "Did you reach the minimum retirement age before January 1, 2026?"

• Since you are under retirement age, answer No.
• TurboTax will then ask if you want to report this as Wages. Select Yes.

This should end the interview and put a halt to the simplified method questions.

[user17734332772]

Im sorry, but I dont understand/see what you're talking about.  Am I going to enter this in the Wages and Salaries? If so, I dont see a box to check taxes undetermined.  If im supposed to enter it under Retirement Plans and Social Security, then the questions are a bit different than what you have listed.  There's not a box to check for undetermined  and the question is, Were you under your minimum retirement age when you received the distribution?  Thanks

Thanks

[JamesG1]

You will enter it as an IRS form 1099-R.  In TurboTax Online, follow these steps: 

• Down the left side of the screen, click Federal.
• Down the left side of the screen, click Wages & Income.
• Click on the down arrow to the right of Retirement Plans and Social Security.
• Click to the right of IRA 401(k) Pension Plan Withdrawal (1099-R).
• At the screen Who is this form from?, select  Office of Personnel Management (CSA 1099-R).

Select Yes at the screen Were you under your minimum retirement age.

The income is reported on line 1h of the IRS form 1040.

@user17734332772 

[user17734332772]

Thank you. I have done the steps you mentioned. After I select Yes for the age requirement, it goes to the next question, "Do any of these situations apply to you? 

I took out this money due to a qualified disaster, This money was from being a public safety officer,

I need to file a substitute 1099-R , None of these apply."

I selected "None of these apply," and hit continue.

Then it shows "We found a few other questions about your situation." I continue.

Annuity information

"Did you get periodic payments from this retirement account with OFFICE OF PERSONNEL MANAGEMENT on a regular basis, such as monthly, quarterly or annually?" Periodic payments

I selected Yes (I receive monthly payments)

The next question is 

Annuity information

Did you start getting these payments in 2025?

Select Yes or No

I selected No (I started receiving these in 2023)

Next question

Annuity information

For the years you received these distributions, was the total amount shown in the form the amount you paid tax on? Total amount taxable

I selected No (I put No because in 2023, 2024, and 2025, 1099R Box 2a was UNKNOWN. Also, in 2023 and 2024, Box 4 had an amount each year. In 2025, Box 4 shows NONE).

Am I answering this correctly? If I select yes, there are no further questions; but since I'm answering no, it asks the questions below.

Then the next question was 

Which did you use to figure out the taxable amount of this annuity?

Taxable amount method

General rule

Simplified method

I assume I'm supposed to click the Simplified method, because I read over the publication.

Then it goes on to ask these questions and for me to enter the information.

OFFICE OF PERSONNEL MANAGEMENT

Annuity start date

Plan cost

Number of months payments were received in 2025

Tax-free amount previously recovered

Thank you

[BillM223 · Accepted solution]

On this question ("was the total amount shown in the form the amount you paid tax on? "), answer YES, and it should default to the box 1 distribution.

Since this amount is being treated as Wages (as Dave said above), you don't go through the Simplified Method - you will do that in a later year after you have hit the retirement age for your plan.

[user17734332772]

Thank you all. I clicked Yes on that question, and the questions stopped.  Turbo automatically filled in Box 2a with the same amount that is in Box 1. 

Thank y'all for the explanations.