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Level 1
posted Feb 25, 2025 3:30:40 PM

Why would my earned income be less than the income I'm being taxed on?

I am paying taxes on $1441, but I am being told me earned income is $1339. I did not put in any deductions.

0 3 478
3 Replies
Expert Alumni
Feb 25, 2025 3:33:50 PM

You might have a combination of earned income (wages) and unearned income (interest and dividends, rental income, capital gains). 

Level 1
Feb 25, 2025 3:38:35 PM

Ah, I see. I had $111.xx from capital gains from my brokerage account. That would be the difference. But now I have an excess contribution on my Roth IRA. Dang it. I wasn't sure how those two would interact and I guess I should have looked into it more.

 

Thank you! This was helpful.

Expert Alumni
Feb 25, 2025 3:40:50 PM

Thank you for using TurboTax.