Why is my "elective deferrals to a 403(b) salary reduction agreement" for box 12, code E, not showing up in my "credit for retirement savings contribution deduction"?

[whizzkid889]

So I have an entry on my W-2 for box 12 with the code of E. My spouse also has this code. However, when I get to the "Credit for retirement savings contribution" panel, my tab says I made "$0 in regular elective contributions to employer-provided qualified retirement account." For my spouse, they have the same amount that is indicated by their code E.

For additional information, I was still a student for part of 5 months in the year, but otherwise nothing significant was different in our situations. My contribution was made from a job I started in the second half of the year.

[DanielV01 · Accepted solution]

It depends.  Your question holds a key, however:  you were a student for part of the year.  A student is not allowed to claim the Retirement Savers Credit.  So his contribution is considered to be a zero for the purposes of this credit.  Here's an FAQ with more information on this:  https://ttlc.intuit.com/replies/3301263

[whizzkid889]

Thanks for the insight TurboTaxDanielV. I'm guessing the 5-month time requirement is essentially to disqualify someone if they were a full time student for a single semester in a year?

[DanielV01]

Correct.  The IRS considers you a full-time student if you were at least a half-time student for 5 months of the year.  (A strange definition I'll admit but their standard nonetheless).  However, if you are eligible to claim Education Credits, they will have a more powerful effect on your tax return in all likelihood.