topic Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax in Retirement tax questions

Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax

user918722 — Tue, 04 Jun 2019 19:43:21 GMT

That's asked in the retirement contribution section, sinc...

ThomasM — Tue, 04 Jun 2019 19:43:23 GMT

That's asked in the retirement contribution section, since the answer has an impact on the deductibility of Traditional IRA contributions.

You can get there by following this pathway: Federal Taxes > Deductions & Credits > Retirement & Investments > Traditional and Roth IRA Contributions.

Follow the prompts, entering your contribution amount and responding to the various questions. Then you'll come to the screen that says Retirement Plan Coverage? and you can give your answer.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax

sclearwater — Sun, 28 Feb 2021 22:16:28 GMT

I found it Other Tax Situations > Retirement Savings > IRA Calculator tool

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax

GarysGirl — Tue, 02 Mar 2021 01:25:01 GMT

There are 2 previous responses to this issue. I don't get the question or see the place to correct this. I am NOT part of an employer sponsored retirement plan and it keeps saying that I am. Help!

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

DawnC — Tue, 02 Mar 2021 02:18:03 GMT

It is probably marked on your W-2. Even if you did not contribute, if you were eligible to participate in a plan, you are considered covered by an employer plan. Look in Box 13 - if there is a checkmark on the Form and in TurboTax, then you are considered covered by a retirement plan. If your employer mismarked that box, then you should request a corrected W-2 as the IRS has the same copy you do. @GarysGirl

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

GarysGirl — Tue, 02 Mar 2021 02:20:29 GMT

I checked that. Box 13 is not checked.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

Irene2805 — Tue, 02 Mar 2021 15:14:52 GMT

In addition to box 13 on your W-2, you can indicate that you were not covered by an employer retirement plan in the IRA contribution part of the interview. To do this, please follow these steps:

Click on Federal Taxes > Deductions & Credits [In TT Self-Employed: Personal > Deductions & Credits > I'll choose what I work on].
Scroll down to the Retirement and Investments section and click on the Start/Revisit box next to Traditional and Roth IRA Contributions.
On the Traditional IRA and Roth IRA screen, mark the box for Traditional IRA and click Continue.
On the screen, Did you Contribute to a Traditional IRA? click the Yes box.
Click the appropriate box on Is This a Repayment of a Retirement Distribution?
On the Tell Us How Much You Contributed screen, enter the amount of your contribution and click Continue.
On the screen, Retirement Plan Coverage? click the No box.
Continue through the screens, entering the requested information.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

GarysGirl — Tue, 02 Mar 2021 23:54:17 GMT

I don't get the question: Retirement Plan Coverage?

After I enter the amount and click Continue, I get: Tell us if you switched or "recharacterized" any of the $2000 traditional IRA contribution for 2020 over to a Roth IRA contribution? Yes or No

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

MarilynG1 — Wed, 03 Mar 2021 00:16:58 GMT

@GarysGirl Think of IRA recharacterizations as a set of special rules allowing you to change your mind about the type of your current year IRA contribution.

So if you didn't change your traditional IRA to a Roth IRA, you would say NO to this question.

Click this link for more info on IRA Conversions, Recharacterizations, Rollovers.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

GarysGirl — Wed, 03 Mar 2021 01:03:10 GMT

I answered No. Then I get: Tell us if you contributed more money to your IRA than was allowed in 2019 or any previous year. I answered No. Then: Any Nondeductible contributions to your IRA? I answered No and Continue. Then it tells me that only part of my contribution is deductible since I am covered by an employer sponsored plan. But I am NOT.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

DaveF1006 — Wed, 03 Mar 2021 01:32:53 GMT

Check your W2 entry to see if you had checked that you were covered by a retirement plan at work. Also check the distribution code in Box 12 to see if there is a code D with an amount listed.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

GarysGirl — Wed, 03 Mar 2021 01:37:41 GMT

YAAAY!!! Thank you! My W-2 doesn't have anything in box 13 but when it auto loaded, it checked box 13. I fixed it. Thank you so much!

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

stuart13 — Mon, 12 Apr 2021 22:30:02 GMT

I am having the same problem trying to get TT to recognize that I am not covered by an employer retirement plan. I am a part time W-2 employee and I have a SEP associated with my sole proprietorship. I don't get a screen asking if I am covered by an employer plan in the retirement section, I deleted my W-2 and removed my SEP contribution and I still get the message that my income is too high to contribute to a IRA while being covered by a retirement plan at work. Thanks in advance for any insight you may have.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

SamS1 — Mon, 12 Apr 2021 23:31:33 GMT

It could be due to your spouse. If you are married, you will need to check box 13 of your spouse's W-2 to determine if she is covered by a plan. If she is and your AGI is over $206,000, your income would be too high to gain any deductibility from an IRA contribution.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

macuser_22 — Mon, 12 Apr 2021 23:48:58 GMT

@stuart13 wrote:

I am having the same problem trying to get TT to recognize that I am not covered by an employer retirement plan. I am a part time W-2 employee and I have a SEP associated with my sole proprietorship. I don't get a screen asking if I am covered by an employer plan in the retirement section, I deleted my W-2 and removed my SEP contribution and I still get the message that my income is too high to contribute to a IRA while being covered by a retirement plan at work. Thanks in advance for any insight you may have.

A SEP *is* an employee retirement plan. (Simplified Employee Pension Plan -SEP)

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

pala — Sun, 25 Apr 2021 17:00:59 GMT

Hi, Im having the same problem. Did you find a solution?

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

DanaB27 — Sun, 25 Apr 2021 17:30:30 GMT

Please double check your W-2 entry if box 13 retirement plan is checked or box 12 has an entry indicating an retirement plan.

@pala

Click on "Search" on the top right and type “W-2”
Click on “Jump to W-2"

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in T...

pala — Sun, 25 Apr 2021 18:19:39 GMT

Helped by the turbotax support: I had checked 401(k) and Roth 401(k) under Less Common Business Situations>Self employed retirement. It doesn't go there.

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax

michtrack — Thu, 13 May 2021 04:42:37 GMT

None of the above solutions work for me.

I am self-employed, not covered by a retirement (but wife is). Our AGI is well below the $198,000, so I believe I should be getting the full deduction for my IRA (7000).

In the IRA questionnaire, the page saying "Retirement Plan Coverage" does not come up.

Instead, it tells me that both me and my wife are covered by a retirement plan at work, and that I can only deduct $1930.

In TurboTax, how do I change whether I am covered by a retirement plan at work? I have no W-2 form, and no SEP (I only have traditional IRA).

Re: Where do I enter in Turbotax that I am not covered by employer sponsored retirement plan in TurboTax

macuser_22 — Thu, 13 May 2021 14:39:19 GMT

@michtrack wrote:

None of the above solutions work for me.

I am self-employed, not covered by a retirement (but wife is). Our AGI is well below the $198,000, so I believe I should be getting the full deduction for my IRA (7000).

In the IRA questionnaire, the page saying "Retirement Plan Coverage" does not come up.

Instead, it tells me that both me and my wife are covered by a retirement plan at work, and that I can only deduct $1930.

In TurboTax, how do I change whether I am covered by a retirement plan at work? I have no W-2 form, and no SEP (I only have traditional IRA).

Covered by a retirement plan at work is usually indicated by box 13 on your W-2.

Make sure the W-2 (s) were entered for the correct spouse.
Make sure that the IRA contribution is for the correct spouse.

Check your W-2 box 12 also.

TurboTax makes that determination if any of the following are true:

1) Box 13 (retirement plan) on your (or spouses) W-2 is checked,
2) Box 12 on your (or spouses) W-2 contains codes D, E, F, S, or AA/
3) You answered “yes” to the “Are you covered by a Retirement Plan at work” in the interview.
4) You have a self-employed retirement plan.

Look at the "IRA Contribution Worksheet" line 10 and see if it is checked for you and the contribution is in the correct column for Taxpayer and Spouse.