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Level 1
posted Feb 10, 2023 11:29:20 AM

Why does Turbotax call my $3,000 special 403(b) catch up provision an excess contribution, when it is valid for those >50 and with >15 years of employment?

My institution confirmed it is a legitimate contribution, described under IRC Section 402(g)(1) in IRS code.

0 4 1324
4 Replies
Level 15
Feb 10, 2023 11:36:24 AM

Turbotax doesn't recognize this special situation.  As I recall, nothing bad happens if you ignore the warning, so just ignore the warning.  

@dmertz  ??

Level 1
Feb 10, 2023 11:48:18 AM

Thank you!

Level 15
Feb 10, 2023 7:24:15 PM

Opus 17 is correct.  TurboTax developers failed to program TurboTax to accommodate 403(b) special catch-up contributions, so you'll just have to ignore the warning.

Level 1
Feb 13, 2023 11:35:04 AM

Thanks!