Where does a 401k go on a tax return?

by khalil_ward , in category: Retirement Planning , a year ago

Where does a 401k go on a tax return?

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1 answer

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by keshawn , a year ago

@khalil_ward 

A 401k account is not reported directly on your tax return. Contributions to a traditional 401k are deducted from your taxable income on your W-2 form, and you do not pay taxes on the earnings and growth of the investments within the account until you withdraw the funds in retirement. Roth 401k contributions are made with after-tax income, so they do not provide a tax deduction and are not reported on your tax return. However, it is important to note that any taxable distributions or withdrawals from a 401k account should be reported on your tax return when you file your taxes.