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posted Apr 3, 2025 11:09:46 AM

My employer paid out my non-qualified 401k. Me and my employer contributed. How to answer Did you take money out of your nonqualified pension plan? after entering my W2?

The options are 1) Yes, I took this money out of my non-qualified or Section 457 plan and 2) No, this is money I contributed to my nonqualified or Section 457 plan. Both are true. My employer paid everything out when my employment was terminated but the money in the account was partially money I contributed (from spillover 401k contributions) and partially "retirement contributions" my employer contributed. I do not know how much I contributed vs. how much my employer contributed.

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1 Best answer
Level 15
Apr 3, 2025 3:28:24 PM

Box 11 is used for two purposes, one use is for when money is put in and the other is for when money is taken out.  In this case, it's reporting money taken out (withdrawn).  (The question is not asking about a past transaction, it's asking in regard to the transaction that caused the amount to be reported in box 11.)

1 Replies
Level 15
Apr 3, 2025 3:28:24 PM

Box 11 is used for two purposes, one use is for when money is put in and the other is for when money is taken out.  In this case, it's reporting money taken out (withdrawn).  (The question is not asking about a past transaction, it's asking in regard to the transaction that caused the amount to be reported in box 11.)