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posted Mar 15, 2024 4:35:29 PM

1099-R and Fidelity NetBenefits - fillings in Federal > Wages & Income vs. Federal > Deductions & Credits

My company uses Fidelity NetBenefits. That is the only retirement account I have. The contribution options in NetBenefits are: (1) PRE TAX (2) ROTH (3) EMPLOYER MATCH (4) ROLLOVER (5) AFTER TAX (6) ROTH IN PLAN CONVERSIONS. 

  • Of note:

    In 2023, I did change the % allocations in Fidelity NetBenefits (changes include updating ROTH from 0% to a#%).

I have a 1099-R (from NetBenefits) that I uploaded successfully into TurboTax's Federal > WAGES & INCOME section.

 

Q1: Does uploading that 1099-R suffice? There is a following question in TurboTax's Federal > WAGES & INCOME section, that asks "Tell us the value of your Roth IRA on December 31, 2023." On this: 

  • I am able to pull from NetBenefits a

    contribution summary for 1/1/2023 to 12/31/2023

    (with the aforementioned (6) breakdowns), but am not sure if that's the right way to get the answer (if this question needs to be answered at all).
  • When I provide the ROTH $ from this

    contribution summary

    into TurboTax, it then takes me to a page asking "Explain your recharacterization". I am not sure if 

    changing the % allocations in Fidelity NetBenefits (changes include updating ROTH from 0% to a#%) in 2023

    constitutes as a "recharacterization"? 

 

Q2: Do I need to do anything in  TurboTax's Federal > DEDUCTIONS & CREDITS section? All I have is the 1099-R (from NetBenefits), but this was uploaded successfully into TurboTax's Federal > WAGES & INCOME section.

  • The farthest I've gotten here is selecting "Traditional IRA" and "Roth IRA" when asked "Select the kind of IRA(s) you own or will contribute to for 2023", given my note

    above

    . I am not clear where I can find the $s to complete subsequent questions.

0 1 8033
1 Best answer
Level 15
Mar 21, 2024 8:35:48 AM

TurboTax asking you to explain a recharacterization implies that you have entered a traditional or Roth IRA contribution in the Deductions & Credit section, yet you say that you have no traditional or Roth IRAs.  The Fidelity NetBenefits accounts are not IRAs.

 

Make sure that you have not entered under Deductions & Credits anything reported in box 12 of any W-2 that you received.  To remove erroneous entries there you would need to tell TurboTax that you had traditional and Roth IRAs (even though you don't), then proceed to remove any contributions you have entered there.

 

You say that you have a Form 1099-R.  What is the code in box 7 of the Form 1099-R provided by the payer?

Is the IRA/SEP/SIMPLE box marked.

1 Replies
Level 15
Mar 21, 2024 8:35:48 AM

TurboTax asking you to explain a recharacterization implies that you have entered a traditional or Roth IRA contribution in the Deductions & Credit section, yet you say that you have no traditional or Roth IRAs.  The Fidelity NetBenefits accounts are not IRAs.

 

Make sure that you have not entered under Deductions & Credits anything reported in box 12 of any W-2 that you received.  To remove erroneous entries there you would need to tell TurboTax that you had traditional and Roth IRAs (even though you don't), then proceed to remove any contributions you have entered there.

 

You say that you have a Form 1099-R.  What is the code in box 7 of the Form 1099-R provided by the payer?

Is the IRA/SEP/SIMPLE box marked.