Hello,I had 2 employers in 2018 and exceeded by 401k max contribution of $24500. I added the excess deferral amount using the procedure below:Scroll down to "Less Common Income"Select "Miscellaneous Income" and click Start or UpdateSelect "Other income not already reported on a Form W-2 or Form 1099" and click on StartAnswer the Question "Did you receive any other wages? YesClick through the questions until you get to "Any Other Earned Income"Answer Yes to "Did you earn any other wages?Indicate "Other" as Source of Other Earned Income and click ContinueFor the description enter "2018 Excess 401K Deferrals" and click on DoneHowever I still get an error when running Federal error check stating I am over the 401k max limitso I cannot submit my taxes. How do I fix this?....Jim

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jmorizio

Employee

Solved

elective deferral to 401k error

Forum|Forum|7 years ago
March 31, 2019
3 replies
0 views

Hello,

I had 2 employers in 2018 and exceeded by 401k max contribution of $24500.

I added the excess deferral amount using the procedure below:

Scroll down to "Less Common Income"
Select "Miscellaneous Income" and click Start or Update
Select "Other income not already reported on a Form W-2 or Form 1099" and click on Start
Answer the Question "Did you receive any other wages? Yes
Click through the questions until you get to "Any Other Earned Income"
Answer Yes to "Did you earn any other wages?
Indicate "Other" as Source of Other Earned Income and click Continue
For the description enter "2018 Excess 401K Deferrals" and click on Done

However I still get an error when running Federal error check stating I am over the 401k max limit

so I cannot submit my taxes. How do I fix this?....Jim

TurboTax Desktop

Best answer by macuser_22

TurboTax has released a FAQ on this issue - scheduled for 4/5/2019

Excess 401(k) Contribution Preventing e-File

https://ttlc.intuit.com/questions/4698409-excess-401-k-contribution-preventing-e-file?jump_to=answer_7327357

macuser_22Answer

Employee

TurboTax has released a FAQ on this issue - scheduled for 4/5/2019

Excess 401(k) Contribution Preventing e-File

https://ttlc.intuit.com/questions/4698409-excess-401-k-contribution-preventing-e-file?jump_to=answer_7327357

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

jmorizioAuthor

Employee

Thank you macuser_22...

So does this mean on 4/5 I can see a new procedure on how to get over

this error check issue so then I can e-file ?

macuser_22

Employee

No. After TurboTax fixes the bug on 4/5 then you should be able to e-file without the error. Updates are usually at night so when they say 4/5 it might not be until late on 4/5 so try on 4/6.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

Randjem

Employee

Your fix is not correct. We tried that with their CPA yeaterday. When you do that, your federal return does not add that extra income. You have to file a 1099-R form and fill it out as much as you can in order for your federal return to add that extra income. This still does not allow you to e-file. So you paid for e-filing to get at the to their coding error that was supposed to be fixed by April 5th. On the April 5th, got an rmail from them after waiting 2 weeks telling me that i have to paper file! Yes, they did it! They basically fixed the issue by saying paper file, which the software itself was telling you afer you run the review of the federal return. Amazing, ha? I paid $290 to e-file and get their coding error fixed and I am still here with no solution! Last time I will be uaing TT!

macuser_22

Employee

That is not a "fix". Reporting the excess 401(k) deferral as 2018 income only negates the need to amend 2018 next year after the actual 1099-R arrives. The e-file issue has to do with the excess reported on the W-2. Nothing that you can do will fix that since it is a TurboTax bug. The 4/5 update changed this but did not fix the e-file reject. There is a new update on 4/12 that is supposed to fix the e-file issue whether you report the excess not not.

https://ttlc.intuit.com/questions/4698409-excess-401-k-contribution-preventing-e-file

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

Steve2

Employee

Issue was supposedly resolved today; however, I’m still unable to efile online or on the iOS app.

Randjem

Employee

Steve, it worked for me this morning, did not use iOS app though. Finally after waiting all of that time to e-file, the work is done but TT will never see my $$$ again. How they manahed this issue is poor at the best. Good luck. Marko