topic Good news: <a rel="nofollow" target="_blank" href="https:... in Retirement tax questions

My employer allows both an age 50 and 15 year catch-up contribution to my 403(b) retirement plan. How can I get TurboTax to account for the $3,000 15-year catch up?

skovar — Mon, 03 Jun 2019 23:55:08 GMT

TurboTax does not account for it, your employer does in b...

macuser_22 — Mon, 03 Jun 2019 23:55:10 GMT

TurboTax does not account for it, your employer does in box 12 on your W-2.

Or do you mean that you are getting an error on the W-2 box 12?

This is currently being investigated by TurboTax, but in the meantime:

You should NOT change any W-2 information. The IRS gets a copy from the employer and what you report must match. In addition if the W-2 box 1 amount is less the the box 3 amount the difference must be accounted for in box 12 - if not, that could be a "red-flag" audit trigger.

TurboTax has released a FAQ on this issue - the workaround answer is to print and mail the return.
Excess 401(k) Contribution Preventing e-File

<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/replies/7327357">https://ttlc.intuit.com/replies/7327357</a>

Yes, the difficulty, I think, is that my employer has cor...

skovar — Mon, 03 Jun 2019 23:55:12 GMT

Yes, the difficulty, I think, is that my employer has correctly withheld and reported the contributions, but TurboTax doesn't see them as an allowable contribution, but instead an excess contribution, because there is no where to report that I am eligible for the $3,000 15 year catch-up provision. I believe what you are saying is that the return will be computed correctly if I enter the amounts as my employer has reported them, and simply file by mail. Thank you for your assistance.

Correct, even thought the W-2 is correct, TurboTax will f...

macuser_22 — Mon, 03 Jun 2019 23:55:14 GMT

Correct, even thought the W-2 is correct, TurboTax will flag it as an error and prevent e-file. Until they fix this (time unknown) the only way to file is to print and mail.

Intuit, please release a fix for this. I have the same pr...

tweak — Mon, 03 Jun 2019 23:55:15 GMT

Intuit, please release a fix for this. I have the same problem (can't e-file with a legitimate $27,500 403(b) contribution for 2018).

Yes, please FIX!!! Mailing not reasonable option. Thank...

rsutton1987 — Mon, 03 Jun 2019 23:55:17 GMT

Yes, please FIX!!! Mailing not reasonable option. Thank you. Our issue is also the 403b 15 year catch up limit.

I have the same issue. This is unacceptable. I spoke to a...

byst0008 — Mon, 03 Jun 2019 23:55:19 GMT

I have the same issue. This is unacceptable. I spoke to a turbo tax agent for 45 minutes this morning. He didn't even know what the 15 year provision was and had to look it up in the IRS website (still couldn't find it). I found the info for him on the IRS website...poor service!! Then he spoke to his supervisor who suggested I enter 24500 instead of the 27000 amount listed on my W2. He told me not to worry, putting that amount wouldn;t be a red flag to the IRS and I shouldn't be concerned about an audit. REALLY!!

The same thing has happened to me. Will there be an upda...

bigelow — Mon, 03 Jun 2019 23:55:20 GMT

The same thing has happened to me. Will there be an update to the update before the filing deadline?

The same thing has happened to me. Will there be an upda...

bigelow — Mon, 03 Jun 2019 23:55:22 GMT

The same thing has happened to me. Will there be an update to the update before the filing deadline?

TurboTax does not make software changes this close to the...

macuser_22 — Mon, 03 Jun 2019 23:55:24 GMT

TurboTax does not make software changes this close to the due date.

Yes please fix this before filing deadline--efiling is th...

adamsear — Mon, 03 Jun 2019 23:55:25 GMT

Yes please fix this before filing deadline--efiling is the main reason I use TurboTax!!

Good news: https://ttlc.intuit.com/questions/4732918">https://ttlc.intuit.com/questions/4732918</a>. Update coming 4/12.

Don't look for it first thing in the morning - most updat...

macuser_22 — Mon, 03 Jun 2019 23:55:29 GMT

Don't look for it first thing in the morning - most updates take place late in the day - up to midnight.

I was able to e-file today. Thank you, Intuit, for the fix.

tweak — Mon, 03 Jun 2019 23:55:30 GMT

I was able to e-file today. Thank you, Intuit, for the fix.

I just tried and was not able to proceed past the error....

byst0008 — Mon, 03 Jun 2019 23:55:32 GMT

I just tried and was not able to proceed past the error. I will try again tomorrow and hope for the fix to work. If there's a trick to get past the error, please share.

All I can say is to first download all software updates....

tweak — Mon, 03 Jun 2019 23:55:34 GMT

All I can say is to first download all software updates. Then run the check and try to e-file again. My override on the W-2 "excessive" 403(b) contribution was automatically removed -- after the latest software update -- and TurboTax allowed me to e-file.

Best of luck!

Thank you for the follow up. Do you use the online or des...

byst0008 — Mon, 03 Jun 2019 23:55:36 GMT

Thank you for the follow up. Do you use the online or desktop version?
I use the online version which updates automatically. There's no way to update the online version manually....that may be the issue on my end if you are using the desktop version. Maybe it will be ready tomorrow.

There really were two problems, one with the 457(b) 403(b...

skovar — Mon, 03 Jun 2019 23:55:37 GMT

There really were two problems, one with the 457(b) 403(b) if you had Designated Roth contributions and were over 18,500, and one for people who were over 24,500 because of a 15+ years of service catch up. They fixed the first one, but I haven't seen evidence in the online version of the second one being fixed. Fingers crossed for tomorrow!

[duplicate - deleted]

tweak — Mon, 03 Jun 2019 23:55:39 GMT

[duplicate - deleted]

I use the desktop version (download) of TurboTax Home & B...

tweak — Mon, 03 Jun 2019 23:55:41 GMT

I use the desktop version (download) of TurboTax Home & Business. Try forcing a download/software update if you are using the desktop version.

My case is actually for my father, who legally contributed $27.5k to his 403(b) plan at a private college (Duke University) in 2018. This amount was $18.5k + $6k (over 50) + $3k (his last year of the 15-year catch-up plan).

TurboTax worked for e-file for my father today on the desktop version, including his extra $3k (the 15-year catch-up, total limit of $27.5k after the age-50 $6k addition).

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I hope this helps! And I suggest that you bug Intuit customer service (by phone) about the needed parallel update to the online version.