My employer allows both an age 50 and 15 year catch-up contribution to my 403(b) retirement plan. How can I get TurboTax to account for the $3,000 15-year catch up?

[tweak]

All I can say is to first download all software updates. Then run the check and try to e-file again. My override on the W-2 "excessive" 403(b) contribution was automatically removed -- after the latest software update -- and TurboTax allowed me to e-file.

Best of luck!

[byst0008]

Thank you for the follow up. Do you use the online or desktop version?
I use the online version which updates automatically. There's no way to update the online version manually....that may be the issue on my end if you are using the desktop version. Maybe it will be ready tomorrow.

[skovar]

There really were two problems, one with the 457(b) 403(b) if you had Designated Roth contributions and were over 18,500, and one for people who were over 24,500 because of a 15+ years of service catch up.  They fixed the first one, but I haven't seen evidence in the online version of the second one being fixed.  Fingers crossed for tomorrow!

[tweak]

[duplicate - deleted]

[tweak]

I use the desktop version (download) of TurboTax Home & Business. Try forcing a download/software update if you are using the desktop version.

My case is actually for my father, who legally contributed $27.5k to his 403(b) plan at a private college (Duke University) in 2018. This amount was $18.5k + $6k (over 50) + $3k (his last year of the 15-year catch-up plan).

TurboTax worked for e-file for my father today on the desktop version, including his extra $3k (the 15-year catch-up, total limit of $27.5k after the age-50 $6k addition).

---
I hope this helps! And I suggest that you bug Intuit customer service (by phone) about the needed parallel update to the online version.

[tweak]

By the way, I originally paid for a state e-file license ($25) to file this return.

After the bug, I contacted customer service and demanded a refund, as I thought I had to do a paper file. This was a tedious experience, and I have not yet seen the credit appear on my credit card.

That said, I was finally able to use the e-file license for this tax return. So I am fine with being charged the $25 state e-file charge at this point. And I won't pursue this matter further.

But TurboTax, you really need to get this stuff right. I am tempted to switch to one of your lower-priced competitors next year.

[byst0008]

I have the online version and was just able to file! The error about 27k being over the 24.5k max no longer showed up and I FINALLY filed without issue.

[adamsear]

Same with me!  TurboTax, this process raked me over the coals this year.  This was a simple fix, first brought to your attention over 2 weeks ago.  I will be looking at other possible options for next year.

[macuser_22]

Product updates cannot be done that quickly.  There are 4 different online versions and 10 different desktop versions that the "fix" has to be applied to and tested to be sure that it does not break something else.   2 week turn around is very fast for a tax update to be tested and fit into an already established update schedule and then re-tested for any  interaction of the fixes.    Updates are usually planed many weeks in advance.

[macuser_22 · Accepted solution]

Incorrect Contribution Limit for 457(b) Catch-up Deferrals

(This applies to 403(b) also)

https://ttlc.intuit.com/replies/7332718

[racerock11]

This error was supposed to be fixed and implemented in the 2019 Turbo Tax Software.

- I see it is NOT fixed yet!

Absolutely ridiculous.

What happens is that the small group that takes advantage of the "Aged Based Contributions for 403 and/or 457 must PRINT (yep I said print) and MAIL (yep good old snail mail) all tax forms instead of:

- E Filing.

What the heck.

What other applications out there allow for Age Based Contributions and allow for e-file?

[vmk1]

I am trying to complete my 2019 taxes and am getting the message that $3,000 needs to be adjusted.  That is not true, how do I get turbo tax to allow this?

[KrisD15]

How much had you earned and how much did you contribute? 

[SMS2]

I am trying to file my 2019 taxes and and my employer allows both the age 50 ($6,000) and 15 year catch-up ($3,000) contributions, therefore raising the limit from $25,000 to $28,000.  TurboTax is flagging the amount of my contribution (from my W-2) over $25,000 as an excess contribution, which it is not.  I qualify for both catch-ups.  I just spent nearly 2 hours on the phone with two separate representatives trying to explain the issue and determine a solution.  Unfortunately, the issue was not resolved. 

Can anyone suggest a way to escalate this issue so TT fixes the problem?  Here is what seems to me to be a simple solution:  If the box 12 E amount is over $25,000 (regular and age 50 catch up), add a pop up question asking the filer if their plan allows and they qualify for the 15 year service catch up ($3,000).  If YES, then add the $3,000 to the limit so the amounts over $25,000 are not considered excess payments.

Any information on how to get this issue resolved would be much appreciated. 🙂

[byst0008]

This was a problem for me as well for the 2018 taxes. Now, working on the 2019 taxes same issue seems to be affecting impacted the process. As a two year problem, one would think TurboTax would fix this; as priting and mailing is a very poor option.