In 2022 I received a dividend check from my 401k. I receive a form to claim this as income? I’m assuming I have to claim that this year.

[Tgger921]

In 2022 I received a dividend check from my 401k plan.??  Will I receive a form to claim this as income? I’m assuming I have to claim that this year.

[VolvoGirl]

Why did you get a check?  Maybe it wasn't a dividend but a distribution.  Dividends should be reinvested in the account.  Wait and see if you get a tax form for it like a 1099R or 1099Div.  

[Tgger921]

Because I had accidentally checked the box to send me the dividends vs. rolling them back in.

[dmertz]

You'll receive a Form 1099-R reporting this as a distribution.  You have 60 days following receipt of the distribution to roll the funds back into the 401(k) or to an IRA to avoid the distribution being taxable income (although it still must be reported on your tax return).  If it's been more than 60 days, the deadline to do a rollover has passed.

[VolvoGirl]

So did you fix it now?  To have the Dividends reinvested in the 401k?  If they send it to you as a distribution you will owe tax on it and a 10% early withdrawal penalty if you are under 59 1/2.  

[Tgger921]

It is 100% dividend.  Not a distribution.

I have the statement that was attached to the check that states dividend.

[VolvoGirl]

But because it came from your 401k account it is a distribution now.  You should be getting a 1099R for it.  Is the statement say it's the tax form like a 1099 Div or 1099R?  How often will you be getting these "dividends"?  Better tell them to roll over the dividends instead of sending it to you.  

[Tgger921]

Thank you.