Does Turbotax take into account W2 deferrals when calculating Self Employed 401K maxiumum contribution?

Forum|Forum|3 years ago
March 5, 2023
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Under 'Self Employed 401k' -> 'Individual and Roth 401(k) Plans'

For ' Elective Deferrals' do I enter deferrals associated with the Self Employed 401k account only or total deferrals including deferrals associated with W2 income? (I have a solo business and W2 job).

When I click the option to 'Maximize Contribution to Individual 401(k)', under 'Your Retirement Contributions' Turbotax seems to suggest I can contribute another $20,500 which is the employee contribution limit. This makes it seem like it is not taking into account W2 401K contributions I already entered since I have already maxed out the $20,500 limit when entering my W2 income.

As a double check, how do I find out the total amounts Turbotax is entering for employee/individual and employer matching 401K contributions when the 'Maximize Contribution' checkbox is checked?

Thank you for your help!

TurboTax Self Employed Online

DavidD66

TurboTax calculates the maximum "allowable" elective deferral to an Individual 401(k) plan. If you have already contributed the maximum amount, you can't contribute any additional amount as an elective deferral. If you are looking to maximize your overall contribution, the program assumes have or will maximize the elective deferral. There is a worksheet that you can print once you have paid to file. If you would like to see the workheet (or any other worksheet, Form, or Schedule), you can print without filing. You will still be able to make changes prior to filing. Follow these steps to print a preliminary copy of our return in TuboTax Online:

While logged in and working on your return, click on Tax Tools
From the drop down menu click on Print Center
Click on Print, save or preview this year's return
On the next screen click on "Pay Now"
You may be prompted to "Go to My Info" if you need to add additional information
Submit your payment information and you will be able to print your tax returns