More info asked on W2 Box 12 Code G: "Did you elect to have your employer make contributions to your deferred compensation plan,”

[stong]

TT asks for more info on W2 Box 12 Code G: "Did you elect to have your employer make contributions to your deferred compensation plan,” The Learn more button incorrectly sends us to “What is mortgage interest”

Is this asking if my employer made additional contributions into my deferred compensation plan (ie on top of what I contributed from my own salary? e.g., Is it asking:

1. I designated 5,000 to go to my deferred compensation plan
2. My employer deposited another 3,000 of the company’s money into my deferred compensation plan – not from my salary/pay.

I couldn’t find a reply to similar posts:

https://ttlc.intuit.com/community/taxes/discussion/wrong-help-file-linked-on-desktop-help-section/01...

https://ttlc.intuit.com/community/retirement/discussion/when-it-asks-did-you-elect-to-have-your-empl...

[TeresaM · Accepted solution]

What we mean here is did you request that your employer contribute money from your paycheck to your deferred compensation plan. If this sounds like your situation, select Yes.

If your employer contributed money that didn't come out of your paycheck, select No.

Thank you for your information about the Learn more link in the TurboTax Desktop version. 

[ScottT18]

"Elect" is the problem that I wanted to read in the associated help file.  It comes from my check but it is mandatory.  I cannot "elect" not to.  Employer contributes nothing, they just take out a % for the account

[RobertB4444]

That's a very strange employee benefit program.  But in your case you'll still select 'yes' because technically you elected to have the money taken out of your check and moved into the retirement plan by agreeing to work there.  It's a technicality - and, like I said, a weird 'benefit' to force your employees to take it - but it's correct.

@ScottT18 

[ScottT18]

Not my employer but explains it.

https://mccc-union.org/obra-defined-contribution-retirement-plan/

And thanks for the reply!

[stong]

Thanks - this and the earlier reply helps me move forward on my tax return

[chris_s5]

This is still not clear.

I could answer yes to both. My wife asked her employer to make a contribution from her paycheck to a 457. But the employer also provides some matching funds, which DO NOT come out of her paycheck.

Thank you.

CS

[BillM223]

"But the employer also provides some matching funds, which DO NOT come out of her paycheck." - are the matching funds part of the code G amount, or is the code G amount only what your spouse contributed?

[chris_s5]

I believe the amount in G includes both my wife's contributions and the employer's contributions.

[VolvoGirl]

It should be both.  That's what code G says on the back of the W2.

G—Elective deferrals and employer contributions (including nonelective deferrals) to a section 457(b) deferred compensation plan

It doesn't affect your tax return.  

[burlymulletman]

I have a similar situation where I elect to have $300 from my paycheck each pay period contributed by my employer to my 457(b) plan. My employer provides a 5% match on the $300 that also is contributed to the 457(b) account. So for me, the answer to the first question is "yes" I contributed funds from my paycheck to the account. But then the Intuit sidebar guidance says to select "no" if my employer contributed funds that didn't come out of my paycheck. So I should select "no" because they did and it negates my contributions, or does that apply to a different kind of situation? I mean, I contributed $7,000+ while my employer only contributed $360. @VolvoGirl you mentioned it doesn't affect the return, but the Intuit guidance seems vague. I wish it were more clear what this is determining for my return. @BillM223 @stong @chris_s5 @ScottT18 

[AmyC]

Indeed, code G is for both contributions from you and the employer. Your contributions could affect the saver's credit. If you qualify, select yes. If you don't qualify, yes or no won't matter on your tax return.

References:

• Instructions for Forms W-2 and W-3, Wage and Tax Statement and Transmittal of Wage and Tax Statement...
• What is the 2024 Saver's Credit?

@burlymulletman