I have a traditional pension that does not have a RMD,why does TurboTax 2016 insist that I check a box or I will have to pay a 50% penalty?

[TomD8 · Accepted solution]

A traditional monthly pension from a former employer automatically includes your RMD, so you can answer Yes to questions about that.

[dcasr]

Unfortunately the next Q was what % of the distribution was a RMD and I have no idea, and if I check 100% it then asks whether is was calculated using Simple or General. As A retired clergy person the pension amount is used for a Parsonage Allowance. How do I get around this?

[dmertz]

The question about using the Simple Method or General Rule is unrelated indicating 100% of the distribution is RMD.  Indicating that it is all RMD simply prevents TurboTax from allowing you to report any of this distribution as having been rolled over to another retirement account.

[shulman22]

So how do I know I am correct if I follow the above? My pension plan admin doesn't know anything about this. So which is it - simple or general?

[TomD8]

See this:  <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/2963313-do-i-use-the-simplified-method-or-general-rule-to-explain-...>