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Retirement/pension income reported on a Form 1099-R is not eligible for Social Security and Medicare taxes.
Does this add into taxes that I Owe since I have $0 in the social security box on my W2? I am not required to pay social security tax since I am a government public sector employee and I have a pension.
@acschafe wrote:
Does this add into taxes that I Owe since I have $0 in the social security box on my W2? I am not required to pay social security tax since I am a government public sector employee and I have a pension.
If you have retirement/pension income that is not reported to you on a W-2. Your pension plan administer will send you a Form 1099-R which has your income and is reported on a tax return. Delete the W-2 you started.
To enter, edit or delete a form 1099-R -
Click on Federal Taxes (Personal using Home and Business)
Click on Wages and Income (Personal Income using Home and Business)
Click on I'll choose what I work on (if shown)
Scroll down to Retirement Plans and Social Security
On IRA, 401(k), Pension Plan Withdrawals (1099-R), click the start or update button
Or enter 1099-r in the Search box located in the upper right of the program screen. Click on Jump to 1099-R
I think Don is missing the point. Certain public service jobs have pensions that substitute for Social security so you don’t have social security tax withheld on your W-2.
Just enter your W-2 normally. You will get nagged once, but TurboTax will not add in the missing social security tax.
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