Traditional IRA Deduction

[jhahle]

 I went from full-time to part-time in 2021. My participation in my company's 401K retirement plan ended 12/31/2021.  A $19.00 deduction was taken from my last 2021 pay period, which ended on 12/31/2021. However the pay date was 1/7/2022, so the company checked Box 13 on my 2022 W-2 form, which is limiting the deductions for my wife's and my IRA contributions. Should I challenge that on the grounds that the deduction was for the 2021 plan, even though paid in 2022, and I was not actually covered by the retirement plan in 2022? Any suggestions on how to handle this will be appreciated.

[dmertz]

Does the 401(k) plan use a fiscal year rather than a calendar year?  If so, participation in the 401(k) in December 2021 made you covered for 2022, the year that includes the end date of the plan year in which the contribution was made.