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Level 1
posted Feb 13, 2025 10:01:39 AM

2024 401k Error

I'm over 60, for 2024 my total contribution limit is $30,500.00.  $23,000 +$7,500 according to the IRS, TT is flagging my $8,000 over my limit.  I contributed $30,500. I spoke to the "professionals" for over an hour and the basically said I'm wrong.  

 

What can I do?

0 3 1249
1 Best answer
Level 15
Feb 13, 2025 10:19:42 AM

Make sure that you have not entered this as an IRA contribution.  A 401(k) is not an IRA.  Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax.  If you have entered any of the $30,500 as an IRA contribution, go back and remove that.

3 Replies
Level 15
Feb 13, 2025 10:19:42 AM

Make sure that you have not entered this as an IRA contribution.  A 401(k) is not an IRA.  Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax.  If you have entered any of the $30,500 as an IRA contribution, go back and remove that.

Level 1
Feb 14, 2025 9:10:26 AM

Well, that took care of the penalty but my taxable income isn't showing the corresponding 30,500 reduction the 401K should have given me.

Employee Tax Expert
Feb 21, 2025 10:54:01 AM

The 401K is on your w2 and should have reduced your box 1 amount. Are you filling out business taxes? If so, what type of entity?