NJ Other Wage Adjustments - W-2 (Pension)

Forum|Forum|2 years ago
February 26, 2024
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I have a question regarding "Employee elective amounts contributed to all types of pension plans other than 401(k) plan".

I paid about $1840 towards my pension. Does this mean I enter a negative number or a positive number in this field?

I googled NJ tax laws and only found taxation against pension withdraws. Not about contributions.

AmyC

Employee

This is added to your income and taxable. Nj has the most unusual laws regarding retirement. Page 8 Resident Income Tax Return Instructions states: Retirement Plans. Under New Jersey law, contributions to retirement plans (other than 401(k) Plans) are included in State wages on the W-2 in the year the wages are earned. This may cause your State wages (box 16) to be higher than your federal wages (box 1).

You will use a positive entry to create the taxable income rather than the negative sign.

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