I overcontributed to my 401k this year. My plan administrator issued a refund of the excess amount and I filed a 2020 1099-R form. Do I need to do anything else?

For instance, do I need to adjust the 401k 2019 contribution amount such that the total annual contribution no longer exceeds 19k$?

posted

No. Getting a refund does not change the amount that was contributed. The 1099-R with a code 8 (I assume) will put the returned excess on the 1040 line 1 as wages returned that offsets the contributed amount.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**