Overcontributed to IRA in 2024. How to correct this?

[Irasaco]

In early 2024 tax year, I contributed $3800 to a traditional IRA and $4200 to a Roth IRA. The total was $8000 which is allowable for me because I am 60 years old. I paid estimated tax on April 15, but filed an tax extension. But when I did my taxes that year (for the extension deadline of October 15, 2024), my income was high enough (due to capital gains from stocks) that I just passed the threshold for too high of a contribution. So, according to TurboTax Home & Business software, I overpaid the Roth total by $330. 

The ROTH IRA is undwritten by equities (mostly stocks and some ETFs) and has increased considerably over the past two years, so I know that I would need to move $330 plus interest and gains over to tax year 2025.

I caught this while going back through my 2024 return.  

I know that the contribution limit on the Roth is affected by my income, but n

For 2025 tax year, I only contributed $7000,  all towards the Roth.

* So, because I can contribute up to $8000, I have a deficit of $1000; therefore, could I move the $330 excess plus any gains from 2024 to tax year 2025 (before this April 15, 2026) and use it for 2025 tax year IRA contribution?

And lastly, do I have to file an amended tax return for tax year 2024?

Thanks.

Edited to update information.

[ReneV4]

Since your Traditional IRA is not income-restricted for contributions, the entire $330 excess belong to your ROTH IRA. The easiest fix is to absorb the excess by applying it to your 2025 contribution, since you still have $1,000 of "room" to contribute.

Although you will still owe a one-time 6% penalty ($19.80) on your 2024 return via Form 5329 because it sat there through the December 31, 2024 deadline, you will not need to withdraw the money. Instead, you can leave it in the ROTH account.

To report this in TurboTax, do the following:

1. Go to the Deductions & Credits section and find Traditional and Roth IRA Contributions
2. Enter your 2024 contributions ($3,800 Traditional/$4,200 ROTH)
3. TurboTax will notify you of the $330 excess
4. When asked if you withdrew the money, answer "No" to trigger the penalty

For 2025, your total contribution is officially $7,330, which is under your contribution limit.

1. Go to the Deductions & Credits section and find Traditional and Roth IRA Contributions
2. When asked, "Did you have any excess ROTH contributions for 2024?", Select Yes
3. Enter the $330 as the prior year excess and $7,000 as your actual contribution
4. The excess will then be applied against your remaining $1,000 for 2025
5. TurboTax will generate Form 5329 showing the $330 was applied to this year's limit. This results in $0 penalty for 2025.