Roth IRA Contribution Limit - Excess Contribution

Forum|Forum|3 years ago
February 7, 2023
1 reply
3 views

How can I see how Turbo-Tax calculated MAGI. The adjusted gross income is above the limit for Roth contribution but Turbo-Tax still allowed a limited Roth contribution. Of note, the "Roth IRA Contribution Limit Worksheet" within the software is not completed. Should the software be expected to complete the worksheet?

DanaB27

Level 15

There should be a "Modified Adjusted Gross Income Worksheet" that shows how the MAGI is calculated.

Please see IRS worksheet Modified Adjusted Gross Income for Roth IRA Purposes for details on how to calculate the MAGI for Roth IRA limits.

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Md6104Author

Level 2

I never found the "Modified Adjusted Gross Income Worksheet" within the software (CD version). I did complete the IRS worksheet you linked in your reply and unlike the Turbo-Tax results, it shows that all of the Roth contributions are not allowed ( no SSN income, etc to back-out). How do I obtain the correct results in the software?

Thank you for your help. Too bad I could not locate the worksheet in the software so I could feel comfortable with the results to date.

AnnetteB6

Level 15

Since you are using the CD version of TurboTax use these steps:

Go to Forms Mode and search for the IRA Contributions Worksheet (IRA Contrib Wks).
Scroll to the bottom of that page until you see a section for Roth IRA Contributions After Limitation - line 29.
Just below line 29 there is a Quick Zoom link for the Roth IRA Contribution Limit Worksheet which will show you the calculation for allowed Roth contributions.

From that worksheet, you can 'right-click' on the line 1 box to see the data source for the Modified AGI used on the worksheet.

@Md6104

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