☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 1
posted Feb 4, 2023 2:43:36 PM

TurboTax Premier not calculating contribution limits to IRA correctly

I have Premier (desktop) and the limit for my IRA contribution is being calculated by TurboTax incorrectly. I am over 50 (catch up) + employed in a 15-year rule qualifying school (Public Community College). How can I get Turbo Tax to provide the correct limit and not "flag" my contributions as being in excess?

0 2 227
1 Best answer
Level 15
Feb 4, 2023 9:00:11 PM

The plan in which you participate through the school is not an IRA, it is a 403(b) plan.  Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax.

 

Note that if you've made a special catch-up contribution such that your total contributions to the 403(b) plan exceed $27,000, TurboTax will flag this as a potential error.  Ignore this error message from TurboTax.

2 Replies
Level 15
Feb 4, 2023 9:00:11 PM

The plan in which you participate through the school is not an IRA, it is a 403(b) plan.  Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax.

 

Note that if you've made a special catch-up contribution such that your total contributions to the 403(b) plan exceed $27,000, TurboTax will flag this as a potential error.  Ignore this error message from TurboTax.

Level 1
Feb 5, 2023 3:55:00 PM

Thank you. Yes, you are correct, I meant 403b. And thanks for the advice. It's frustrating to have to ignore the flags, but glad to get the reassurance.