401(k) Estimate 2008 Income Taxes?
by admin ~ May 19th, 2009 . Filed under: United States .
Ruby K asked:
I got married and need to change our W-4. I am estimating online using Turbo Tax and H & R Block Tax Cut Basic. Shockingly we will OWE big time when we used to get $1,000 back each. The question is, though, both programs are reflecting my Health Savings Account (HSA) (deducted from my paycheck pre-taxed) in the adjusted gross income but not his traditional 401(k) (deducted from his paycheck pre-taxed). Shouldn’t it subtract from the gross income his 401(k) contributions like it did my HSA? They are both pre-tax….?
Michelle
I got married and need to change our W-4. I am estimating online using Turbo Tax and H & R Block Tax Cut Basic. Shockingly we will OWE big time when we used to get $1,000 back each. The question is, though, both programs are reflecting my Health Savings Account (HSA) (deducted from my paycheck pre-taxed) in the adjusted gross income but not his traditional 401(k) (deducted from his paycheck pre-taxed). Shouldn’t it subtract from the gross income his 401(k) contributions like it did my HSA? They are both pre-tax….?
Michelle
May 21st, 2009 at 8:09 am
Yes - the pre-tax 401K contributions should not be included in his taxable income - you probably did not enter the numbers the way TurboTax wanted you to - you probably should just subtract that amount from his wages to get the right calculation.
May 23rd, 2009 at 10:07 am
The right place assuming that the w2 hsas are tricky when it needs to software programs the reduction for on form to the w2 hsas are tricky when it comes to add this form 8889 and not line 21 you need to.
For the right place assuming that the reduction for the reduction for the 401k is already accounted for on the return.
May 26th, 2009 at 2:29 am
If it’s not a ROTH 401K, it’s pre tax