topic Taxable pension income in Retirement tax questions

Taxable pension income

DKYates — Mon, 09 Mar 2026 04:39:41 GMT

Our pensions have always been 100% taxable. This year, Turbo Tax is excluding some of it. $35K worth! Two are normal local and state government pensions, 1 is an IRA my husband inherited from his father, the other comes from a life insurance company, again inherited. Why is some being excluded?

Re: Taxable pension income

DianeW777 — Mon, 28 Feb 2022 17:54:21 GMT

This may be happening based on questions that were answered about the pensions. If you know that you have no cost basis in any of the pensions then it should all be taxable. The taxable amount should be listed in box 2a in all Forms 1099-R. Review each of your forms to be sure they have all been entered correctly. Sometimes one incorrect answer can change your results.

Cost Basis:

"Basis" in a retirement plan is also called "cost" or "contribution". In a word, it is the amount of after-tax dollars that the taxpayer contributed to the retirement plan over the years while he/she was employed.

Please update here if you need further assistance.

Re: Taxable pension income

SweetieJean — Mon, 28 Feb 2022 19:05:09 GMT

An IRA is not a pension. and the one from the life insurance company might be an IRA or an annuity (qualified or non-qualified), not a pension. Please clarify.