Why does Turbo Tax charge me a "Tax on excess accumulations in retirement account" of $500"?

Forum|Forum|1 year ago
February 5, 2025
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Why does Turbo Tax list a "Tax on excess accumulations in retirement account" of $500 on the Contributions Results tab?

SusanY1

TurboTax will list this when there is a contribution detected from your entries that exceeds what is allowed based on your age, income, and type of retirement account. If you believe this is in error, return to the retirement account contribution and/or W2 sections of TurboTax and double-check the entries based on the type of retirement contributes made by you in 2024.

If there was an actual excess contribution, you do have until April 15 to remove that excess contribution without penalty. You would then also remove the entry in TurboTax.

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