1099R Pension

Forum|Forum|5 years ago
February 21, 2021
2 replies
32 views

If I receive monthly pension payments from a qualified retirement plan with 1099-R, what do I select for "What did you do with the money" options? I did not cash out, I did not roll over or move to another retirement account. As mentioned, I receive monthly payments and pay both state and federal taxes. If I chose "cash out" option, it tells me later that I will receive a W2-c, for deferred SS taxes.

What has changed with 2020 Turbo Tax? I've received pension payments for several years now and have not had this problem in the past with Turbo tax.

Thank you.

Pension Plan

sls50211

Level 9

Lets start by deleting the 1099R you are working on and start the entry process over, After you have logged in and are in your return in TurboTax Online:

Go to Search at the top of the screen.
Then enter Form 1099-R in the search box.
You will see a Jump To function that will take you to the 1099-R input screens.
There delete the 1099R in question by clicking on the trash can next to the form
Then add a new 1099R and manually enter your 1099R.

At the financial services screens, click "Change how I enter my form" then "Type it myself"

Select "I did something else". If you did not rollover the funds and used it for your monthly expenses, that would be the correct answer. The cash out option would only be used if you received a lump sum payout for the remainder of your pension payments. If you are over 70 1/2, at the RMD screens, since its a pension, indicate "I received all my RMD".

The pandemic has affected your taxes in many ways. Including reporting in TurboTax the amount of stimulus money you received. Click Here for more information on how the Pandemic affected your 2020 taxes.

PFORAuthor

Level 2

Thanks. We don’t use the online version of turbo tax, so how do we enter the 1099 r manually?

robtm

Level 10

if you're not using the online version then toy must be using the desktop one. click on federal taxes / wages & income. scroll down to Retirement Plans. click on blue button to enter your 1099 data.

robtm

Level 10

Once you get to the screen where it asks what you did with it, choose 'something else'. next screen asks if you got regular payments. This defaults to NO. You need to chose YES I got regular payments. This is how I do my pension 1099-r and I get nothing about a W2-c.