Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
pamaroda06
New Member

Box 16 is higher than box 1 on my w2, the difference is my 401K deduction Is my state taxing me to much because it is using the state wage information from the w2?

Have I been paying state taxes on my 401K contributions and will be paying again  as I withdraw

1 Reply
BMcCalpin
Level 13

Box 16 is higher than box 1 on my w2, the difference is my 401K deduction Is my state taxing me to much because it is using the state wage information from the w2?

If you are in Pennsylvania, Pennsylvania does not permit the deduction of your contributions to a 401(k) plan. However, when you take money out of this 401(k) plan after retirement, you will pay only federal income tax on it - Pennsylvania will not tax such a distribution.

Dynamic AdsDynamic Ads
Privacy Settings
v