Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Mar 16, 2024 12:26:58 PM

Does a Non-Qualified Annuity count as a pension plan

0 1 413
1 Replies
Expert Alumni
Mar 17, 2024 7:45:10 AM

No, There are differences between a Non Qualified Annuity and a Company sponsored retirement plan.

 

  • A qualified plan is an employer-sponsored retirement plan that complies with IRS requirements for receiving tax-deferred treatment. a Non-Qualified Annuity is a pension Fund, but is different from a mention.
  • A Non-Qualified Annuity is individually funded with after-tax dollars.  When you take money out, only the earnings are taxable as ordinary income.
  • They are reported similarly on your tax return.
  • They will both receive a 1099-R.
  • Take your time to complete the entire interview and carefully read every question.
  • Please see IRS article Pensions – The general rule and the simplified method  

To Post a 1099-R

Log into TurboTax

  1. Under Federal
  2. Select Wages & Income
  3. Scroll to and select IRA, 401(k), Pension Plan Withdrawals (1099-R)
  4. Now Edit or Add another 1099-R
  5. Enter your Broker or plan administrator information.
  6. Follow the interview.