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New Member
posted Oct 16, 2022 8:46:08 PM

How can I not pay takes on my early withdraw on my penison

i paid for it when I got it now  I have to pay another fee

0 3 320
3 Replies
Level 15
Oct 17, 2022 5:24:33 AM

make sure you enter the amount from 1099-R Box 4 and Box 14.

That's all you can do.

If you took an early withdrawal you pay an extra 10% penalty.

 

@cakers01-  

Level 15
Oct 17, 2022 7:01:55 AM

When you took money out of your retirement plan, the custodian of the account had to withhold a percentage for federal tax.   But.....that is just like when your employer withholds tax.  Sometimes they withhold more than necessary, sometimes not enough.  When you prepare your income tax return, you enter the amount that was withheld and then the software reconciles the amount withheld with the amount you really owe.  And...if you were younger than 59 1/2, you face a 10% early withdrawal penalty on top of the ordinary tax.

 

You just have to enter the 1099R and make sure you enter the amounts from all of the boxes on it correctly, and let the software calculate your tax.

 

You will see the amounts on lines 5a and 5b of your Form 1040.

Level 15
Oct 17, 2022 7:02:54 AM

To enter your retirement income, Go to  Federal> Wages and Income>Retirement Plans and Social Security>IRA  401 k) Pension Plan Withdrawals to enter your 1099R.