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February 9, 2025
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W2 Error on Form W2 2024

  • February 9, 2025
  • 1 reply
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When you enter W2 information in Turbo Tax Federal and you get to Box 12 and enter Code S it appears as Roth Simple.  However the IRS instructions for W2 box 12 code S states that it is a 408(p) Simple IRA.  It then enters this information on the IRA Information Worksheet under Part II box 6 and 8.  

The problem is that it is not a Roth IRA it is a 408(p) Simple IRA.  I thought these are two different types of IRA's and from a tax standpoint would be handled differently.  408(p) Simple IRA taking the contribution before taxes and a Roth Simple taking the contribution after taxes.  So, does this coding need to be fixed?  Thanks for any help to clarify this situation.

 

 

    Best answer by SusanY1

    I have found the area in the program that I believe is causing the confusion. 

    New this year is the ability for some participants of SIMPLE  plans to designate contributions as Roth after-tax contributions.  However, there isn't a new code for that to report on the Form W-2.   Therefore, both pre-tax and post-tax contributions to SIMPLE plans will be represented by this code "S". 

    After the W-2 is entered, you should get to a screen that asks for additional information.  The screen will read "Tell us more about your retirement contributions" and look like this:

     

    An entry on this screen then transfers to the "S: Enter amount attributable to Roth" screen in the TurboTax worksheet for the Form W-2. 

     

    This screen should show the full entry from the W-2 code S on the left under the Box 12 Column and then any amount entered on the screen described above in the "If Box 12 code is:" column, which is user input data telling TurboTax to treat these entries differently.



    In my example shown above the Box 12 Code "S" amount is $5,000 and the amount entered in answer to the question "Tell us more about your retirement contributions" box for Roth SIMPLE IRA is $500.  

    This would indicate that I had $4,500 of pre-tax SIMPLE contributions and $500 in after-tax Roth contributions.

    If you are seeing the same numbers in both, but did not designate any of your SIMPLE contributions as Roth, edit your W-2, and update the answer to that follow up question or simply update the amount directly on the W-2 worksheet to be the correct amount beside the line S:Enter the amount attributable to Roth SIMPLE.  

    1 reply

    ANBAuthor
    February 9, 2025

    You are correct John, when you are entering the information the code is correct.  But if you go to forms and check the the Turbo Tax form W2 that is where you see the error.  Again, it is under the: "If Box 12 code is:" and for S it states "S: Enter amount attributable to Roth Simple  ."

     

    Thanks for looking at this, I appreciate it!

    ANBAuthor
    February 9, 2025

    So, on my Form W-2 2024 the "S: Enter amount attributable to ROTH Simple. ." lists the same amount as the contribution amount on the W-2 from employer.  It is not blank. I will use an Example amount as it would be listed on Box 12a.                   Example actual W-2:      Box 12a.    S         $3000

    FORM W-2

    Box 12            Box 12                                       If Box 12 code is:

    Code.              Amount                                     A: Enter amount attributable to RRTA Tier 2 tax.     Blank

    S                      $ Amt as on W2                        M, P, R, W, G, F lines                                                       Blank

                             (Example: $3000)                    S: Enter amount attributable to ROTH Simple..       $Amt as on W2

                                                                                                                                                                            (Example:$3000)