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vhall9000
Level 1

Self Employed Retirement Plans Maximum Incorrect

I am attempting to enter my contributions to a self employed / individual 401k.  The IRS says maximum allowed for someone over 50 is $57,000+$6,500 = $63,500.  Turbo Tax is limiting it at $63,000.  Also, there are a number of dialogs and help messages that refer to a maximum employee contribution of $25,000 when it is now $26,000 for folks over 50.  This is wrong.

 

" $19,500 in 2020 and 2021, or $26,000 in 2020and 2021 if age 50 or over; "

"Total contributions to a participant’s account, not counting catch-up contributions for those age 50 and over, cannot exceed $57,000 (for 2020; $58,000 for 2021)."

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Accepted Solutions
Critter-3
Level 15

Self Employed Retirement Plans Maximum Incorrect

Much of the 2020 program has not yet been updated from 2019 yet ... there will be many updates before it is fully functional sometime late this month although some sections will not be ready until March ... look at the info in the REVIEW tab to see what is still unfinished in your file. 

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1 Reply
Critter-3
Level 15

Self Employed Retirement Plans Maximum Incorrect

Much of the 2020 program has not yet been updated from 2019 yet ... there will be many updates before it is fully functional sometime late this month although some sections will not be ready until March ... look at the info in the REVIEW tab to see what is still unfinished in your file. 

View solution in original post

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