I have a Simple IRA opened through the company I work for. Under Traditional IRA and Roth IRA -- do I say I have a Traditional? Or would I select None of these?

[caitlinejohnson1]

I'm confused on what the difference of Simple vs Traditional IRA. And if I need to enter my current year contributions until the Traditional and Roth IRA tab.

[IreneS]

 Do not select either option.  Employee contributions to a SIMPLE IRA plan are not deductible by participants from their income on their Form 1040.

If you participated in a SIMPLE IRA plan through your employer the amount contributed into the plan is already subtracted from your gross income for federal withholding purposes.  It is only considered as income for Social Security and Medicare withholdings.

The contributions will not appear in Box 1 (wages) of your W-2.  They will appear on your W-2 in Box 12 with Code S. [Code S is used for employee salary reduction contributions under a section 408(p) SIMPLE plan (not included in Box 1).]

A SIMPLE IRA is one established through an employer.  A traditional IRA is opened by an individual.  They are similar in that they are both funded with pre-tax dollars.