W-2 and 1099-MISC from same employer

You can enter the Form 1099-MISC as follows:

1. From the Federal menu in TurboTax find Wages and Income.
2. Find Less Common Income.
3. Choose Miscellaneous Income, 1099-A, 1099-C.
4. Choose Other Reportable Income.

When you answer the questions, don't select that it is business income or TurboTax might calculate self-employment tax on the amount.

Employer reimbursements normally aren't reported on this formIf your employer had an accountable plan following IRS rules, they could reimburse you without your having to include it in income. See this IRS publication. 

If you live in a state, such as California, that still allows Employee Business Expenses, you can enter your work expenses in TurboTax in the Itemized Deductions section in case they qualify. See this TurboTax article for more information.

Your employer is apparently treating the reimbursement as rent that they pay for your equipment. That treatment is questionable. You could do what MonikaK1 suggested, or you could go along with the employer's treatment and enter it in TurboTax as nonbusiness rental of personal property (since you are not in the business of renting out your equipment).

In the Search box type 1099-misc, then click the link that says "Jump to 1099-misc." Enter the information as it appears on the 1099-MISC form that you received. The next screen will ask you the source of the 1099-MISC income. Select "Nonbusiness income from the rental of personal property or equipment." The income will be reported on Schedule 1 line 8l, and the total from Schedule 1 will be shown on Form 1040 line 8.