She is a teacher and is enrolled in a plan that takes out a mandatory amount each month. I don't know if it is an IRA, Roth or some other type. The W-2 form she receives had the "pension" box checked, and the pension is an approved IRS fund. I just don't know if contibutions are deductible or not.
2007-02-27 16:34:38 · 4 answers · asked by CowTippin Thomas 1 in Business & Finance ➔ Taxes ➔ United States
If she made contributions to a qualified pension plan at work, the amount of the contributions is not included in Box 1 of her Form W2 if the contributions are tax-free.
In general, only contributions to a Roth IRA are not deductible. Unless she teaches at a private school, it would be unusual for her to have a Roth plan at work.
She should contact her benefits department for information on the tax treatment of her retirement fund contributions.
2007-02-27 23:25:58 · answer #1 · answered by Bostonian In MO 7 · 2⤊ 0⤋
You don't need to report these contributions on your tax return. They are already pre-tax and your wife has already received a tax benefit by not paying taxes on this part of her wages. She is probably enrolled in a 403(b) plan, not an IRA.
2007-02-27 21:06:31 · answer #2 · answered by tma 6 · 1⤊ 1⤋
Most of the time, they'd have been taken out pre-tax in the first place, so they're already "deducted" and you don't get to deduct them again.
2007-02-27 16:40:32 · answer #3 · answered by Judy 7 · 1⤊ 0⤋
No they are not deductible but she might qualify for a retirement savings credit.
2007-02-27 23:26:08 · answer #4 · answered by mrfoxhorn 5 · 1⤊ 1⤋