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Returning Member
posted Apr 17, 2023 9:10:46 AM

expected return on contract (total sum of distributions - past present future).

How do I answer to this question?

 

0 7 834
7 Replies
Expert Alumni
Apr 17, 2023 9:41:16 AM

Can you give us more information? Where are you seeing this?

Returning Member
Apr 17, 2023 11:05:16 AM

On State tax review 

Part D, line 2

Expert Alumni
Apr 17, 2023 11:16:29 AM

What state? We can not see your screen, so we need complete information.

Returning Member
Apr 17, 2023 12:09:53 PM

State: NJ

 

Expert Alumni
Apr 17, 2023 1:17:14 PM

If you purchased an annuity (which it doesn't look like you did since the amount paid is zero) then you would enter the amount that you expect to receive back from that annuity in that box.  If you did not purchase an annuity then just enter zero.

 

@ptcas71 

Returning Member
Apr 17, 2023 4:00:37 PM

Expert Alumni
Apr 17, 2023 7:49:39 PM

The expected return on the contract is the amount a plan participant is likely to receive over many years. 

 

If life expectancy is a factor under your plan, you must use federal actuarial tables to calculate the expected return. The federal actuarial tables are contained in Internal Revenue Service Publication 939, General Rule for Pensions and Annuities.

 

If life expectancy is not a factor under your plan, the expected return is found by totaling the amounts to be received.

 

Learn more at GIT-1 - Pensions and Annuities.