Would I be liable to pay cash-out tax on $ that my old employer put into the account late?

khanks — Thu, 06 Jun 2019 05:58:45 GMT

I received a few 1099-Rs after rolling over my 401k into a traditional and Roth IRA. Two of the 1099-Rs show no taxable amounts, but I also received a third for $171.15 taxable. This money was put into my old 401k account, presumably from the match on my last paycheck, in the form of company stock. I had instructed everything to be rolled over to my personal IRAs but it appears that they cashed out just this last $171.15? I have a "rollover deposit" on my personal IRA for $128.20 (171.15 - state tax - 20%). I never received a check as the money seems to have been "cashed out" directly into my IRA. How should I handle this?

Enter the $171.15 Form 1099-R and in the follow-up indica...

dmertz — Thu, 06 Jun 2019 05:58:46 GMT

Enter the $171.15 Form 1099-R and in the follow-up indicate that you rolled the money over to another retirement account and that you rolled over only $128.20, not the entire distribution. The $42.95 withheld for taxes is subject to tax and possible early-distribution penalty.

topic Would I be liable to pay cash-out tax on $ that my old employer put into the account late? in Get your taxes done using TurboTax

Would I be liable to pay cash-out tax on $ that my old employer put into the account late?

Enter the $171.15 Form 1099-R and in the follow-up indica...