ForumsMega Backdoor Roth Solo 401kHow to report employee Roth contributions on W-2 in box 12?

Forums Solo 401k Mega Backdoor Roth Solo 401k How to report employee Roth contributions on W-2 in box 12?

  • How to report employee Roth contributions on W-2 in box 12?

    George Blower replied 1 month, 2 weeks ago 2 Members · 2 Posts
  • 1 Reply
  • Top SubjectMega Backdoor Roth Solo 401k
    Top ForumsMega Backdoor Roth Solo 401k

    Miles August
    Top SubjectMega Backdoor Roth Solo 401k

    March 1, 2024 at 10:26 pm

    I use Gusto for my payroll. I made $22,500 employee Roth contributions in 2023. I see that this should be reported in W-2 box 12 code AA and check box 13 Retirement Plan. But how do I set this up in Gusto so that it is reported on the W-2?

    Moving forward, should I make only after-tax contributions because it is optional to report on the W-2?

    Miles August
  • George Blower

    Top SubjectDaily Live Webinar,Solo 401k
    Top ForumsDaily Live Webinar, Solo 401k

    George Blower

    George Blower

    Top SubjectDaily Live Webinar,Solo 401k

    March 3, 2024 at 4:35 am

    1) Ultimately, it will be up to the process of provider who will issue the w-2 to gather the information, and as long as this results in the w-2 being correctly issued for the employee solo 401k contributions this is acceptable from a Solo 41k perspective. Per information regarding “Add and manage benefit deductions” in Gusto’s online Help Center, it appears that the information is provided to Gusto by setting up a benefit deduction and following the related steps.

    2) This confirms that per the w-2 instructions, voluntary after-tax contributions don’t need to be reported on the w-2 (although the subsequent transfer to a Roth Solo 401k or Roth IRA is reportable and we handle the required 1099-R as part of our service for no additional charge).

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