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My company takes after tax out.

So my question is when it says enter any additional contribution after-tax do I have to enter that in or is that already configured into the after-tax my plan is set up to take money from my check after taxes get taken out.

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10 Replies
RobertG
Expert Alumni

My company takes after tax out.

Additional information is required to answer this question with certainty. 

 

  1. What is the contribution for?
  2. In what box is it reported on your W-2, and with what code?

If the contribution is reported on your W-2 with a code that defines what it is, you should not need to enter it a second time.

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My company takes after tax out.

It is in the 12a box EE is the code and also it has $606.36

CatinaT1
Employee Tax Expert

My company takes after tax out.

Code EE is used for Designated Roth contributions under a governmental section 457(b) plan and useed to report designated Roth contributions under a governmental section 457(b) plan. 

 

See this IRS Link for more information.

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My company takes after tax out.

But am I spose to get money back from that on my tax return.

JulieS
Expert Alumni

My company takes after tax out.

After tax contributions that are listed on your W-2 form should not be entered again in Turbo Tax. 

 

By definition, an after tax contribution is not deductible. You don't get a deduction when you put money in, but it grows tax free and when you take the money out it is not taxed, assuming you follow the rules and don't take it out early. 

 

Making a retirement contribution of any kind may get you a Retirement Savings Contribution Credit. You can review that section under Deductions & Credits to see if you qualify. 

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My company takes after tax out.

How do I know if my retirement plan is qualified.

MayaD
Employee Tax Expert

My company takes after tax out.

Qualified Retirement Plan is an employer's plan to benefit employees that satisfy the Internal Revenue Code in both form and operation.

Here is a list of Qualified plans :

  • 401(k)s
  • 403(b)s (also known as tax-sheltered annuity plans)
  • 457 plans for government employees
  • Traditional IRAs
  • Roth IRAs
  • SEP and SIMPLE plans for employees of small businesses
  • Pension plans
  • Profit-sharing plans
  • Stock bonus plans
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My company takes after tax out.

If I was enrolled in the 457b plan in 2019 and they take money out of my check each time I get paid does that mean I contributed?

RobertG
Expert Alumni

My company takes after tax out.

Yes, you contributed, but Roth IRA contributions are nondeductible, and After-tax contributions that are listed on your W-2 form should not be entered again in Turbo Tax.

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MayaD
Employee Tax Expert

My company takes after tax out.

Yes, when your employer deduct an amount each month from your paycheck and puts it into your retirement account that means you contributed to the account .

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