What is the 2023 Limit to contributing to both ROTH 401(k) and regular ROTH IRA?

Forum|Forum|2 years ago
February 28, 2024
2 replies
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Turbo Tax says that I contributed too much in 2023 to my ROTH accounts. I have a workplace ROTH 401(k) as well as a regular ROTH IRA. I contributed a total of $6,800 in 2023 but TurboTax says I can only contribute $6,500. I thought I could contribute to both. I make less than $100k. What am I missing? Thanks!

Best answer by SteamTrain

@writermom3

Here are the contribution limits:

Amount of Roth IRA Contributions That You Can Make For 2023 | Internal Revenue Service (irs.gov)

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But a caution:

When entering your ROTH IRA contributions on the Deductions&Credits page in the software, you DO NOT include your ROTH 401k contributions there. That area is only for specifically- labelled IRA or Roth IRA contributions. Your Roth 401k contributions are entered ONLY in box 12 where you enter your W-2 form...nowhere else.

i.e. a Roth 401k is NOT a Roth IRA

SteamTrainAnswer

Employee

@writermom3

Here are the contribution limits:

Amount of Roth IRA Contributions That You Can Make For 2023 | Internal Revenue Service (irs.gov)

______________________________

But a caution:

i.e. a Roth 401k is NOT a Roth IRA

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*

writermom3Author

Thank you. Very helpful.

So I can clarify (maybe to help others in the future)...if you have a ROTH 401(k) you can contribute the maximum (based on age) and then also contribute the maximum of $6,500 (in my case of income and age) to a regular ROTH IRA. Does that sound correct?

dmertz

Employee

Correct.

dmertz

Employee

A Roth 401(k) is not a Roth IRA. Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax. Under Deductions & Credits, enter only the amount that you contributed to a Roth IRA, not any amount contributed to the 401(k).