- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Email to a Friend
- Report Inappropriate Content
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Email to a Friend
- Report Inappropriate Content
What does D17 in box 12 of W2 mean? Are 401K and IRA the same?
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Email to a Friend
- Report Inappropriate Content
What does D17 in box 12 of W2 mean? Are 401K and IRA the same?
The "D" code in box 12 relates to 401(k) contribution made by your employer to your retirement plan. (There should only be a code letter in box 12, the number may refer to the amount of your 401(k) contributions during the year.)
Both a 401(k) and a Traditional IRA are tax deferred types of retirement plans. However, you usually make 401(k) through your employer since these plans are generally set up by business. Whereas an IRA is a retirement plan that you can fund yourself and you can claim a deduction for contributions to an IRA up to $5,500 (or $6,500 for people over 50)
You will not be able to claim your 401(k) contributions listed on your W-2 as an IRA deduction.
For more information on retirement plans, please click on this link - https://www.irs.gov/retirement-plans