Solved: Earned income IRA
Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
Announcements
TurboTax has you covered during Covid. Get the latest stimulus info here.
cancel
Showing results for 
Search instead for 
Did you mean: 
webmb
Level 1

Earned income IRA

My wife and I are retired and she received a W-2 from her previous employer.  The values in BOX 1, 2, 3 12C and 16 are the same.  Can she contribute that amount to a ROTH IRA?   Box 12 also has M and N values

1 Best answer

Accepted Solutions
Critter-3
Level 15

Earned income IRA

Ok ... this is  income which can be used for IRA contributions since it is taxable imputed earnings reported on a W-2  ... this is reporting the cost of life insurance paid by the old employer  ON WHICH you owe SS & Medicare taxes.    https://www.irs.gov/taxtopics/tc451

 

View solution in original post

3 Replies
Critter-3
Level 15

Earned income IRA

What ???  On a W-2 box 1 & 2 should never be the same so I hope this is a typo on your behalf.

 

And what is the CODE in box 12c ?  

webmb
Level 1

Earned income IRA

You are correct... Box 2 is zero.

On the W2, in box 12 a-d it shows:

M 94.49

N 22.10

C 1524.00

Critter-3
Level 15

Earned income IRA

Ok ... this is  income which can be used for IRA contributions since it is taxable imputed earnings reported on a W-2  ... this is reporting the cost of life insurance paid by the old employer  ON WHICH you owe SS & Medicare taxes.    https://www.irs.gov/taxtopics/tc451

 

View solution in original post

Dynamic AdsDynamic Ads
v
Privacy Settings