topic 401k over 50 catch up contributions in Self employed

401k over 50 catch up contributions

RAGCPA66 — Sun, 14 Apr 2019 20:37:07 GMT

I am self employed and have contributed $24,500 to my 401k. I am over 50 years old. TT gave me error and said the maximum amount I can contribute is $18,500. I went to the Keogh worksheet and changed line 6a from $24,500 to $18,500 and added $6,000 to line 6c in the worksheet. TT still gives error on the now revised line 6a of $18,500. Any way to fix this and still e-file? Rather not file paper for second year due to TT glitch.

Re: 401k over 50 catch up contributions

PaulaM — Sun, 14 Apr 2019 22:27:12 GMT

Enter the amounts like shown in the picture below, with $18,500 in the deferral box, then $6,000 in the catch-up box and check the Maximize contribution to Individual 401k box.

The message 'you can defer a maximum of $18,500 to a 401k plan' is not an error on the 'Your Self-Employed Retirement Deduction' screen. Deferral's and catch-up are different things. After you enter the catchup in its appropriate box, go to forms mode and check the worksheet again. $18,500 should be on line 6a and $6,000 should be shown on line 6c. Overrides will void warranties and cause errors.

Re: 401k over 50 catch up contributions

RAGCPA66 — Sun, 14 Apr 2019 22:44:15 GMT

Thank you. Where is the first screen in easy step?

Re: 401k over 50 catch up contributions

Anonymous_ — Mon, 16 Dec 2024 14:02:40 GMT

Re: 401k over 50 catch up contributions

PaulaM — Sun, 14 Apr 2019 22:52:32 GMT

It's easier to get there if you type 'self employed 401k contribution' in the Find box. No hyphen in self employed. Then select the 'jump to' link.

Re: 401k over 50 catch up contributions

Anonymous_ — Mon, 16 Dec 2024 14:02:51 GMT

Re: 401k over 50 catch up contributions

RAGCPA66 — Sun, 14 Apr 2019 23:00:12 GMT

Thanks my problem was I was putting my partnership match on the wrong line. Got it now - and Thank for quick reply.