IRA Contributions

Forum|Forum|5 years ago
April 13, 2021
1 reply
5 views

I had two employers for 2020. The first employer was for January and February, and they had a retirement plan. The second was for the ten remaining months of the year, and they did NOT have a retirement plan. I contributed to an IRA, but TurboTax is claiming I don't get a tax break because I had a retirement plan through my employer. How do I get it to recognize the second employer who did NOT have a retirement plan and hence my contributions should be deductible?

Best answer by DavidD66

You don't. The fact that you worked for an employer with a 401(k) for part the year means that you were covered by a retirement plan at work for the year.

DavidD66Answer

Level 15

You don't. The fact that you worked for an employer with a 401(k) for part the year means that you were covered by a retirement plan at work for the year.

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bjhillcalAuthor

Level 2

Thank you! I was afraid that might be the answer, but couldn't nail it down anywhere. Timing is everything -- too bad I couldn't have left my old job at the end of 2019, then I would have a full year at my new job where my IRA contribution would then be deductible. Still, I would contribute to my IRA regardless. I can now file knowing I checked things out first.