File your Taxes for Free!
  • Get your maximum refund*
  • 100% accurate calculations guaranteed*

TurboTax Federal Free Edition - File Taxes Online

Don't let filing your taxes get you down! We'll help make it as easy as possible. With e-file and direct deposit, there's no faster way to get your refund!

Approved TurboTax Affiliate Site. TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.


© 2012 - 2018 All rights reserved.

This is an Approved TurboTax Affiliate site. TurboTax and TurboTax Online, among other are registered trademarks and/or service marks of Intuit, Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.
When discussing "Free e-file", note that state e-file is an additional fee. E-file fees do not apply to New York state returns. Prices are subject to change without notice. E-file and get your refund faster
*If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
*Maximum Refund Guarantee - or Your Money Back: If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Federal Free Edition customers are entitled to payment of $14.99 and a refund of your state purchase price paid. Claims must be submitted within sixty (60) days of your TurboTax filing date and no later than 6/15/14. E-file, Audit Defense, Professional Review, Refund Transfer and technical support fees are excluded. This guarantee cannot be combined with the TurboTax Satisfaction (Easy) Guarantee. *We're so confident your return will be done right, we guarantee it. Accurate calculations guaranteed. If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
https://turbotax.intuit.com/corp/guarantees.jsp

State Tax Forms Need Fill

Free Tax Extension2013 Irs 1040ezH&r Block 1040nrFill Out 1040x OnlineMyfreetaxes Com RochestercashHow Much Can I Deduct For Health Insurance On Income Taxes For 2010?Irs Forms PublicationsAmend Federal Tax Return 2012Free Tax Preparation 2012E File State Return2010 Tax FormE File 1040ezFile 2010 Tax Return FreeWhere To Get A 1040x FormAmend A ReturnH&block ComHow To File 2011 Income Tax2008 Tax Forms1040x Instructions 2011Previous Year Tax ReturnIrs Forms2010 Tax Tables Federal1040x Form 2014File 2012 Taxes Free OnlineFile Free State Income Tax140ez 2011Irs.gov/1040xE File 2012 Taxes For Free1040nr InstructionsStudents Filing TaxesFile For A Tax Extension FreeFree Tax Filing Companies2010 Tax Return FormsAmended TaxAmended Tax Returns More:label_amended_20tax_20returns More:taxesIrs 1040Turbotax For MilitaryAmmend 2010 TaxesHow To Fill 1040nr1040nr Online

State Tax Forms Need Fill

State tax forms need fill 6. State tax forms need fill   Ingresos de Propinas Table of Contents Introduction Useful Items - You may want to see: Cómo Mantener un Registro Diario de PropinasRegistro electrónico de propinas. State tax forms need fill Cómo Declarar las Propinas a su EmpleadorInforme electrónico de propinas. State tax forms need fill Declaración final. State tax forms need fill Cómo se Declaran las Propinas en la Declaración de Impuestos Asignación de Propinas Introduction Este capítulo es para empleados que reciben propinas. State tax forms need fill Todas las propinas que usted reciba son ingresos y están sujetas al impuesto federal sobre los ingresos. State tax forms need fill Tiene que incluir en el ingreso bruto todas las propinas que reciba directamente, propinas recibidas por medio de cargos a tarjetas de crédito o débito que le son entregadas por su empleador y su participación de todas las propinas recibidas de un fondo común u otro acuerdo de distribución de propinas. State tax forms need fill El valor de las propinas que no son pagadas en efectivo, tales como boletos, pases u otros artículos de valor también son ingresos y están sujetos al impuesto. State tax forms need fill La declaración correcta de los ingresos de propinas no es difícil. State tax forms need fill Usted tiene que completar tres pasos: Mantener un registro diario de propinas. State tax forms need fill Declarar sus propinas a su empleador. State tax forms need fill Declarar todas sus propinas en su declaración de impuestos. State tax forms need fill  Este capítulo le explicará estos tres pasos y le ayudará a determinar cómo completar su declaración de impuestos si no ha realizado los dos primeros pasos. State tax forms need fill Este capítulo también le mostrará cómo tratar las propinas asignadas. State tax forms need fill Para información sobre acuerdos y programas especiales relacionados con las propinas, vea la Publicación 531, en inglés. State tax forms need fill Useful Items - You may want to see: Publicación 531 Reporting Tip Income (Cómo declarar los ingresos de propinas), en inglés 1244-PR Registro Diario de Propinas Recibidas por el(la) Empleado(a) e Informe al Patrono, en español 1244 Employee's Daily Record of Tips and Report to Employer (Registro Diario de Propinas Recibidas por el(la) Empleado(a) e Informe al Empleador), en inglés Formularios (e Instrucciones) 4137 Social Security and Medicare Tax on Unreported Tip Income (Impuestos del Seguro Social y Medicare sobre el ingreso de propinas no declaradas), en inglés 4070-PR Informe al Patrono de Propinas Recibidas por el(la) Empleado(a), disponible en español 4070 Employee's Report of Tips to Employer (Informe al Empleador de Propinas Recibidas por el(la) Empleado(a)), en inglés Cómo Mantener un Registro Diario de Propinas ¿Por qué mantener un registro diario de propinas?   Usted tiene que mantener un registro diario de propinas para que pueda: Declarar sus propinas correctamente a su empleador, Declarar sus propinas correctamente en su declaración de impuestos y Comprobar sus ingresos de propinas si se cuestiona su declaración. State tax forms need fill Cómo mantener un registro diario de propinas. State tax forms need fill   Hay dos maneras de mantener un registro diario de propinas. State tax forms need fill Puede optar por: Anotar la información sobre sus propinas en un diario de propinas o Mantener copias de documentos que comprueben sus propinas, tales como cuentas de restaurantes y recibos de cargos hechos a tarjetas de crédito o de débito. State tax forms need fill Usted debe mantener su registro diario de propinas junto con su documentación tributaria u otra documentación personal. State tax forms need fill Tiene que guardar su documentación por el tiempo en que sea importante para la aplicación de la ley tributaria federal. State tax forms need fill Para información sobre cuánto tiempo debe guardar esta documentación, vea el tema titulado Cuánto Tiempo Debe Mantener Los Documentos , en el capítulo 1. State tax forms need fill    Si mantiene un registro de propinas, puede utilizar el Formulario 4070A-PR, Registro Diario de Propinas del(la) Empleado(a) (o el Formulario 4070-A, en inglés). State tax forms need fill Para obtener el Formulario 4070A-PR (o el Formulario 4070-A), pídale al IRS o a su empleador la Publicación 1244-PR (o la Publicación 1244, en inglés). State tax forms need fill Asimismo, la Publicación 1244-PR está disponible en el sitio web www. State tax forms need fill irs. State tax forms need fill gov/pub/irs-pdf/p1244pr. State tax forms need fill pdf. State tax forms need fill La Publicación 1244-PR (o la Publicación 1244, en inglés) contiene suficientes copias del Formulario 4070A-PR (o del Formulario 4070-A, en inglés) para un año. State tax forms need fill Cada día, anote la información solicitada en el formulario. State tax forms need fill   Además de la información solicitada en el Formulario 4070A-PR, también es necesario que mantenga un registro u otra documentación de la fecha y el valor de toda propina que reciba que no sea en efectivo, tales como boletos, pases u otros artículos de valor. State tax forms need fill Aunque no declara estas propinas a su empleador, tiene que declararlas en su declaración de impuestos. State tax forms need fill   Si no utiliza el Formulario 4070A-PR (o el Formulario 4070-A, en inglés), comience su registro escribiendo su nombre, el nombre de su empleador y el nombre del negocio o establecimiento donde trabaja si es distinto al nombre de su empleador. State tax forms need fill Luego, cada día que trabaje, anote la fecha y la siguiente información: Propinas en efectivo que obtiene directamente de los clientes o de otros empleados. State tax forms need fill Propinas de los clientes que pagan con tarjeta de crédito y de débito que su empleador le paga. State tax forms need fill El valor de toda propina que haya recibido que no sea pagada en efectivo, tales como boletos, pases y otros artículos de valor. State tax forms need fill La cantidad de propinas que usted le pagó a otros empleados a través de un fondo común u otro acuerdo de distribución de propinas y los nombres de los empleados a los cuales les pagó las propinas. State tax forms need fill Registro electrónico de propinas. State tax forms need fill   Usted puede utilizar un sistema electrónico provisto por su empleador para mantener un registro de propinas diarias. State tax forms need fill En tal caso, tiene que recibir y guardar una copia en papel de este registro. State tax forms need fill Cargos por servicios. State tax forms need fill   No anote en su registro de propinas la cantidad de ningún cargo por servicios que su empleador añada a la cuenta de un cliente y que luego le pague a usted y que el empleador trate como salario de usted. State tax forms need fill Los cargos de este tipo son parte de su salario, no son propinas. State tax forms need fill Vea los ejemplos que se presentan a continuación. State tax forms need fill Ejemplo 1. State tax forms need fill El restaurante Buena Comida añade un cargo del 18% a la cuenta de grupos de 6 o más clientes. State tax forms need fill Juanita forma parte de un grupo de 8 personas. State tax forms need fill Además del costo de la comida y bebidas que se sirvieron a todos en el grupo de Juanita, la cuenta incluye un monto igual al 18% del costo de las mismas, el cual aparece en la línea para anotar propinas. State tax forms need fill Dicho monto se incluye en el total de la cuenta. State tax forms need fill Debido a que Juanita no tenía un derecho ilimitado de determinar el monto en la línea para anotar propinas, el cargo del 18% se considera un cargo por servicios. State tax forms need fill No anote el cargo del 18% en su registro de propinas. State tax forms need fill Los cargos por servicios que se le paguen son considerados salarios y no propinas. State tax forms need fill Ejemplo 2. State tax forms need fill El restaurante Buena Comida también incluye ejemplos de cálculos para las cantidades de propinas en la parte inferior de la cuenta para la comida y las bebidas servidas a los clientes. State tax forms need fill En la parte inferior de la cuenta de David, debajo de la línea para la firma, se incluye una línea en blanco para anotar propinas, además de ejemplos de propinas calculadas en base al 15%, 18% y 20% de los costos de la comida y bebidas que le sirvieron. State tax forms need fill Debido a que David tenía libertad para anotar cualquier cantidad en la línea para anotar propinas, o dejarla en blanco, cualquier cantidad que David anote se considera propina. State tax forms need fill Cerciórese de incluir esta cantidad en su registro de propinas. State tax forms need fill Cómo Declarar las Propinas a su Empleador ¿Por qué tiene que declarar sus propinas a su empleador?   Tiene que declarar sus propinas a su empleador para que: Éste pueda retenerle impuesto federal sobre el ingreso, impuestos del Seguro Social, impuestos de Medicare, Impuesto Adicional del Medicare o impuestos de la jubilación ferroviaria, Éste pueda declarar la cantidad correcta de sus ganancias a la Administración del Seguro Social o a la Junta de la Jubilación Ferroviaria (lo cual afecta sus beneficios cuando se jubile o si queda incapacitado, o los beneficios de su familia cuando usted fallezca) y Usted pueda evitar la Multa por no declarar las propinas a su empleador (tema explicado más adelante). State tax forms need fill Propinas que tiene que declarar a su empleador. State tax forms need fill   Declárele a su empleador solamente las propinas que reciba en efectivo, en cheques, tarjetas de débito y de crédito. State tax forms need fill   Si el total de las propinas que reciba de un trabajo en un mes determinado es menos de $20, no declare las propinas de ese mes a ese empleador. State tax forms need fill   Si recibe propinas conforme a un acuerdo para compartir propinas equitativamente, declare sólo las propinas que reciba y retenga. State tax forms need fill No declare a su empleador ninguna parte de las propinas que reciba para luego entregárselas a otros empleados. State tax forms need fill Sin embargo, tiene que declarar las propinas que reciba de otros empleados. State tax forms need fill    No declare a su empleador el valor de las propinas que no reciba en efectivo, tales como boletos o pases. State tax forms need fill No se pagan impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuestos de la jubilación ferroviaria sobre estas propinas. State tax forms need fill Cómo se declaran las propinas. State tax forms need fill    Si su empleador no le proporciona otro medio para declarar las propinas, puede usar el Formulario 4070-PR, en español (o el Formulario 4070, en inglés). State tax forms need fill Escriba la información requerida en el formulario, incluya su firma y la fecha y entrégueselo a su empleador. State tax forms need fill Si desea obtener copias del formulario para un año completo, comuníquese con el IRS o pídale a su empleador la Publicación 1244-PR (o la Publicación 1244, en inglés). State tax forms need fill   Si no usa el Formulario 4070-PR (o el Formulario 4070, en inglés), entréguele a su empleador un informe con la información siguiente: Su nombre, dirección y número de Seguro Social. State tax forms need fill El nombre de su empleador, la dirección y el nombre del establecimiento (si es diferente al nombre del empleador). State tax forms need fill El mes (o las fechas de cualquier período más corto) en el cual usted recibió propinas. State tax forms need fill El total de propinas que se tienen que declarar para ese período. State tax forms need fill Usted tiene que firmar y fechar el informe. State tax forms need fill Cerciórese de guardar una copia junto con sus documentos tributarios u otros documentos personales. State tax forms need fill   Su empleador puede requerirle que declare sus propinas más de una vez al mes. State tax forms need fill Sin embargo, el informe no puede abarcar un período mayor de un mes natural. State tax forms need fill Informe electrónico de propinas. State tax forms need fill   Su empleador puede exigir que facilite su informe de propinas por medios electrónicos. State tax forms need fill Cuándo debe declarar las propinas. State tax forms need fill   Entregue a su empleador el informe correspondiente a cada mes, a más tardar el día 10 del mes siguiente. State tax forms need fill Si el día 10 cae en sábado, domingo o día feriado legal, entonces entréguele el informe a su empleador el próximo día siempre que no sea sábado, domingo o día feriado legal. State tax forms need fill Ejemplo. State tax forms need fill Tiene que declararle a su empleador la cantidad de propinas que recibió en septiembre del año 2014 a más tardar el día 10 de octubre de 2014. State tax forms need fill Declaración final. State tax forms need fill   Si deja de trabajar durante el mes, puede declarar las propinas recibidas cuando termine su empleo. State tax forms need fill Multa por no declarar las propinas. State tax forms need fill   Si no le declara a su empleador las propinas que recibió, tal como se requiere, puede estar sujeto a que se le imponga una multa equivalente al 50% de los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuesto de la jubilación ferroviaria que adeude sobre las propinas que no declaró. State tax forms need fill (Para información sobre estos impuestos, vea Cómo declarar los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuesto de la jubilación ferroviaria sobre las propinas no declaradas a su empleador , bajo Cómo se Declaran las Propinas en la Declaración de Impuestos, más adelante). State tax forms need fill La cantidad de la multa que se impone es adicional a los impuestos que adeude. State tax forms need fill   Puede evitar que esta multa le sea impuesta si puede demostrar que existe causa razonable por la cual no le declaró las propinas a su empleador. State tax forms need fill Para hacerlo, adjunte un documento escrito a su declaración de impuestos explicando la razón por la cual no declaró la cantidad de propinas que recibió. State tax forms need fill Entrega de dinero al empleador para el pago de los impuestos. State tax forms need fill   Es posible que lo que gana normalmente no sea suficiente para que su empleador le retenga todos los impuestos que adeude sobre su salario normal más las propinas que recibe. State tax forms need fill Si esto ocurre, puede entregarle dinero a su empleador hasta el cierre del año natural para pagar el resto de los impuestos. State tax forms need fill   Si no le entrega dinero suficiente a su empleador, el mismo aplicará su salario normal y todo dinero que usted le entregue para los impuestos, en el orden siguiente: Todos los impuestos sobre su salario normal. State tax forms need fill Los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuestos de la jubilación ferroviaria sobre las propinas que declaró. State tax forms need fill Los impuestos federales, estatales y locales sobre los ingresos sobre las propinas que declaró. State tax forms need fill    Su empleador puede descontar de su próximo salario todo impuesto que quede pendiente. State tax forms need fill Si al final del año aún no se le han retenido suficientes impuestos, usted puede estar sujeto a una multa por pago insuficiente de impuestos estimados. State tax forms need fill Vea la Publicación 505, Tax Withholding and Estimated Tax (Retención de impuestos e impuesto estimado), en inglés, para más información. State tax forms need fill    Impuestos no recaudados. State tax forms need fill Usted tiene que informar en su declaración de impuestos todo impuesto del Seguro Social y Medicare o impuestos de la jubilación ferroviaria que no se recaudaron al final del año 2013. State tax forms need fill Estos impuestos no recaudados aparecerán en su Formulario W-2 del año 2013. State tax forms need fill Vea el tema titulado Cómo se declaran los impuestos no recaudados del Seguro Social, Medicare o impuesto de la jubilación ferroviaria sobre propinas declaradas a su empleador , bajo Cómo se Declaran las Propinas en la Declaración de Impuestos, a continuación. State tax forms need fill Cómo se Declaran las Propinas en la Declaración de Impuestos Cómo se declaran las propinas. State tax forms need fill    Declare las propinas que recibió junto con su salario en la línea 7 del Formulario 1040, la línea 7 del Formulario 1040A o en la línea 1 del Formulario 1040EZ. State tax forms need fill Qué propinas se tienen que declarar. State tax forms need fill   Usted tiene que informar en su declaración de impuestos todas las propinas que recibió en 2013. State tax forms need fill Incluya las que recibió en efectivo y las que no fueron en efectivo. State tax forms need fill Toda propina que usted haya declarado en 2013 a su empleador está incluida en los salarios que aparecen en el recuadro 1 de su Formulario W-2. State tax forms need fill Sume a la cantidad del recuadro 1 solamente las propinas que usted no le declaró a su empleador. State tax forms need fill    Si recibió $20 o más en propinas en efectivo o cargadas a tarjetas de crédito o débito en un mes y no las declaró a su empleador, vea más adelante el tema titulado Cómo declarar los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuesto de la jubilación ferroviaria sobre las propinas no declaradas a su empleador . State tax forms need fill    Si usted no llevó un registro diario de las propinas que recibió, tal como se requiere, y aparece una cantidad en el recuadro 8 del Formulario W-2, vea más adelante la sección titulada Asignación de Propinas . State tax forms need fill   Si usted llevó un registro diario y declaró a su empleador todas las propinas que recibió, tal como se requiere conforme a las reglas explicadas anteriormente, añada a la cantidad que aparece en el recuadro 1 de su Formulario W-2 las siguientes propinas: Las propinas que recibió tanto en efectivo como cargadas a tarjetas de crédito o débito que fueron menos de $20 en un mes cualquiera. State tax forms need fill El valor de las propinas que no recibió en efectivo, tales como boletos, pases u otros artículos de valor. State tax forms need fill Ejemplo. State tax forms need fill Mariano Almendares comenzó a trabajar en el Restaurante Océano Azul (su único empleador en el año 2013) el día 30 de junio y recibió $10,000 en salarios durante el año. State tax forms need fill Mariano llevó un registro diario de las propinas que recibió durante el año, el cual muestra que en junio recibió $18 en propinas y en el resto del año recibió $7,000 en propinas. State tax forms need fill Al Sr. State tax forms need fill Almendares no se le requirió declararle a su empleador las propinas que recibió en junio, pero sí le declaró todas las propinas que recibió durante el resto del año, tal como se requiere. State tax forms need fill El Formulario W-2 que el Sr. State tax forms need fill Almendares recibió del Restaurante Océano Azul muestra $17,000 ($10,000 de salario más $7,000 de propinas declaradas) en el recuadro 1. State tax forms need fill El Sr. State tax forms need fill Almendares añade a esa cantidad los $18 de propinas que no le declaró al empleador y declara $17,018 como salario en su declaración de impuestos. State tax forms need fill Cómo declarar los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuesto de la jubilación ferroviaria sobre las propinas no declaradas a su empleador. State tax forms need fill    Si en un mes recibió $20 o más en propinas en efectivo o cargadas a tarjetas de crédito o débito en algún empleo y no declaró todas esas propinas a su empleador, tiene que declarar como impuesto adicional los impuestos del Seguro Social, Medicare e Impuesto Adicional del Medicare sobre las propinas que no declaró a su empleador. State tax forms need fill Para declarar estos impuestos, tiene que presentar una declaración aunque de otro modo no tuviera que presentarla. State tax forms need fill Para hacerlo, tiene que usar el Formulario 1040. State tax forms need fill (No puede presentar el Formulario 1040EZ ni el Formulario 1040A). State tax forms need fill    Use el Formulario 4137, Social Security and Medicare Tax on Unreported Tip Income (Impuestos del Seguro Social y de Medicare sobre el ingreso de propinas no declaradas), en inglés, para calcular los impuestos al Seguro Social y al Medicare. State tax forms need fill Anote el impuesto en su declaración como se indica y adjunte el Formulario 4137 debidamente completado a la misma. State tax forms need fill Use el Formulario 8959, en inglés, para calcular el Impuesto Adicional del Medicare. State tax forms need fill    Si usted está sujeto a la Railroad Retirement Tax Act (Ley Tributaria para la Jubilación Ferroviaria), no puede utilizar el Formulario 4137 para pagar el impuesto para la jubilación ferroviaria sobre propinas no declaradas. State tax forms need fill Para obtener crédito para la jubilación ferroviaria, tiene que declarar sus propinas a su empleador. State tax forms need fill Cómo se declaran los impuestos no recaudados del Seguro Social, Medicare o impuesto de la jubilación ferroviaria sobre propinas declaradas a su empleador. State tax forms need fill   Usted podría tener impuestos sin recaudar si su salario normal no es suficiente para que su empleador retenga todos los impuestos adeudados y si no le dio a su empleador dinero suficiente para pagar el resto de los impuestos. State tax forms need fill Para más información, vea Entrega de dinero al empleador para el pago de los impuestos , bajo Cómo Declarar las Propinas a su Empleador, anteriormente. State tax forms need fill   Si su empleador no pudo recaudar todos los impuestos al Seguro Social y al Medicare o impuesto de la jubilación ferroviaria que usted adeuda sobre propinas declaradas para 2013, los impuestos por recaudar se mostrarán en el recuadro 12 del Formulario W-2 (códigos A y B). State tax forms need fill Tiene que declarar estas cantidades como impuesto adicional en su declaración. State tax forms need fill A diferencia de la parte no recaudada del impuesto regular al Medicare (1. State tax forms need fill 45%), el Impuesto Adicional del Medicare no recaudado no se declara en el recuadro 12 del Formulario W-2 con el código B. State tax forms need fill    Para declarar estos impuestos no recaudados, tiene que presentar una declaración aunque no tuviera que presentarla de otro modo. State tax forms need fill Tiene que declarar estos impuestos en la línea 60 del Formulario 1040. State tax forms need fill Vea las instrucciones para la línea 60 del Formulario 1040, disponibles en inglés. State tax forms need fill (No puede presentar el Formulario 1040EZ ni el Formulario 1040A). State tax forms need fill Asignación de Propinas Si su empleador le asignó propinas, las mismas aparecen por separado en el recuadro 8 de su Formulario W-2. State tax forms need fill Estas propinas no están incluidas en el recuadro 1 con sus salarios y propinas declaradas. State tax forms need fill Si el recuadro 8 está en blanco, lo que se explica en esta sección no es aplicable en su caso. State tax forms need fill ¿Qué son propinas asignadas?   Éstas son propinas que su empleador le asignó, además de las que usted le declaró para el año. State tax forms need fill Su empleador habrá hecho esto únicamente si: Usted trabajó en un establecimiento (restaurante, bar o negocio similar) que tiene que asignar las propinas a los empleados y La cantidad de propinas que declaró a su empleador fue menos de su parte del 8% de las ventas de comidas y bebidas del establecimiento donde usted trabajó. State tax forms need fill De las propinas asignadas, no se retienen impuestos sobre los ingresos, Seguro Social, Medicare, Impuesto Adicional del Medicare ni impuestos de la jubilación ferroviaria. State tax forms need fill ¿Cómo se calcula su asignación de propinas?   Las propinas que se le asignan a usted son su parte de una cantidad calculada restando las propinas declaradas de todos los empleados del 8% (u otra tasa más baja aprobada) de las ventas de comida y bebida (que no sean ventas de comida para llevar por los clientes o ventas con un cargo por servicio del 10% o más). State tax forms need fill Su parte de esa cantidad fue calculada utilizando un método provisto por un acuerdo laboral entre empleador y empleado o por un método provisto por los reglamentos del IRS basado en las ventas hechas o las horas trabajadas por los empleados. State tax forms need fill Para más información sobre el método de asignación exacto utilizado, consulte a su empleador. State tax forms need fill ¿Tiene que incluir en la declaración sus propinas asignadas?   Tiene que incluir en la declaración de impuestos todas las propinas que recibió en 2013, incluyendo las propinas pagadas en efectivo como las no pagadas en efectivo. State tax forms need fill Todas las propinas que usted haya declarado en 2013 a su empleador están incluidas en los salarios que aparecen en el recuadro 1 de su Formulario W-2. State tax forms need fill Sume a la cantidad del recuadro 1 solamente las propinas que usted no le declaró a su empleador. State tax forms need fill Esto tiene que incluir toda propina asignada mostrada en el recuadro 8 de su(s) Formulario(s) W-2, a menos que tenga registros confiables que muestren que recibió menos propinas en el año que las cifras asignadas. State tax forms need fill   Vea los temas titulados Qué propinas se tienen que declarar , bajo Cómo se Declaran las Propinas en la Declaración de Impuestos y Cómo Mantener un Registro Diario de Propinas , anteriormente. State tax forms need fill Cómo declarar las propinas asignadas. State tax forms need fill   Declare la cantidad en el recuadro 1 y las propinas asignadas en el recuadro 8 de su(s) Formulario(s) W-2 como salario en la línea 7 del Formulario 1040, en la línea 8 del Formulario 1040NR o en la línea 3 del Formulario 1040NR-EZ. State tax forms need fill (No puede presentar el Formulario 1040A ni el Formulario 1040EZ cuando se tienen propinas asignadas). State tax forms need fill    Debido a que los impuestos del Seguro Social, Medicare o Impuesto Adicional del Medicare no fueron retenidos de las propinas asignadas, tiene que declararlos como impuestos adicionales en su declaración. State tax forms need fill Complete el Formulario 4137 e incluya las propinas asignadas en la línea 1 del formulario. State tax forms need fill Vea Cómo declarar los impuestos del Seguro Social, Medicare, Impuesto Adicional del Medicare o impuesto de la jubilación ferroviaria sobre las propinas no declaradas a su empleador , bajo Cómo se Declaran las Propinas en la Declaración de Impuestos. State tax forms need fill Prev  Up  Next   Home   More Online Publications
Español

Government Departments and Agencies

View an organizational directory of the U.S. government.

The State Tax Forms Need Fill

State tax forms need fill 4. State tax forms need fill   Qualified Plans Table of Contents Topics - This chapter discusses: Useful Items - You may want to see: Kinds of PlansDefined Contribution Plan Defined Benefit Plan Qualification RulesEarly retirement. State tax forms need fill Loan secured by benefits. State tax forms need fill Waiver of survivor benefits. State tax forms need fill Waiver of 30-day waiting period before annuity starting date. State tax forms need fill Involuntary cash-out of benefits not more than dollar limit. State tax forms need fill Exception for certain loans. State tax forms need fill Exception for QDRO. State tax forms need fill SIMPLE and safe harbor 401(k) plan exception. State tax forms need fill Setting Up a Qualified PlanAdopting a Written Plan Investing Plan Assets Minimum Funding RequirementDue dates. State tax forms need fill Installment percentage. State tax forms need fill Extended period for making contributions. State tax forms need fill ContributionsEmployer Contributions Employee Contributions When Contributions Are Considered Made Employer DeductionDeduction Limits Deduction Limit for Self-Employed Individuals Where To Deduct Contributions Carryover of Excess Contributions Excise Tax for Nondeductible (Excess) Contributions Elective Deferrals (401(k) Plans)Limit on Elective Deferrals Automatic Enrollment Treatment of Excess Deferrals Qualified Roth Contribution ProgramElective Deferrals Qualified Distributions Reporting Requirements DistributionsRequired Distributions Distributions From 401(k) Plans Tax Treatment of Distributions Tax on Early Distributions Tax on Excess Benefits Excise Tax on Reversion of Plan Assets Notification of Significant Benefit Accrual Reduction Prohibited TransactionsTax on Prohibited Transactions Reporting RequirementsOne-participant plan. State tax forms need fill Caution: Form 5500-EZ not required. State tax forms need fill Form 5500. State tax forms need fill Electronic filing of Forms 5500 and 5500-SF. State tax forms need fill Topics - This chapter discusses: Kinds of plans Qualification rules Setting up a qualified plan Minimum funding requirement Contributions Employer deduction Elective deferrals (401(k) plans) Qualified Roth contribution program Distributions Prohibited transactions Reporting requirements Useful Items - You may want to see: Publications 575 Pension and Annuity Income 590 Individual Retirement Arrangements (IRAs) 3066 Have you had your Check-up this year? for Retirement Plans 3998 Choosing A Retirement Solution for Your Small Business 4222 401(k) Plans for Small Businesses 4530 Designated Roth Accounts under a 401(k), 403(b), or governmental 457(b) plans 4531 401(k) Plan Checklist 4674 Automatic Enrollment 401(k) Plans for Small Businesses 4806 Profit Sharing Plans for Small Businesses Forms (and Instructions) www. State tax forms need fill dol. State tax forms need fill gov/ebsa/pdf/2013-5500. State tax forms need fill pdf www. State tax forms need fill dol. State tax forms need fill gov/ebsa/pdf/2013-5500-SF. State tax forms need fill pdf W-2 Wage and Tax Statement Schedule K-1 (Form 1065) Partner's Share of Income, Deductions, Credits, etc. State tax forms need fill 1099-R Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. State tax forms need fill 1040 U. State tax forms need fill S. State tax forms need fill Individual Income Tax Return Schedule C (Form 1040) Profit or Loss From Business Schedule F (Form 1040) Profit or Loss From Farming 5300 Application for Determination for Employee Benefit Plan 5310 Application for Determination for Terminating Plan 5329 Additional Taxes on Qualified Plans (Including IRAs) and Other Tax-Favored Accounts 5330 Return of Excise Taxes Related to Employee Benefit Plans 5500 Annual Return/Report of Employee Benefit Plan. State tax forms need fill For copies of this form, go to: 5500-EZ Annual Return of One-Participant (Owners and Their Spouses) Retirement Plan 5500-SF Short Form Annual Return/Report of Small Employee Benefit Plan. State tax forms need fill For copies of this form, go to: 8717 User Fee for Employee Plan Determination Letter Request 8880 Credit for Qualified Retirement Savings Contributions 8881 Credit for Small Employer Pension Plan Startup Costs 8955-SSA Annual Registration Statement Identifying Separated Participants With Deferred Vested Benefits These qualified retirement plans set up by self-employed individuals are sometimes called Keogh or H. State tax forms need fill R. State tax forms need fill 10 plans. State tax forms need fill A sole proprietor or a partnership can set up one of these plans. State tax forms need fill A common-law employee or a partner cannot set up one of these plans. State tax forms need fill The plans described here can also be set up and maintained by employers that are corporations. State tax forms need fill All the rules discussed here apply to corporations except where specifically limited to the self-employed. State tax forms need fill The plan must be for the exclusive benefit of employees or their beneficiaries. State tax forms need fill These qualified plans can include coverage for a self-employed individual. State tax forms need fill As an employer, you can usually deduct, subject to limits, contributions you make to a qualified plan, including those made for your own retirement. State tax forms need fill The contributions (and earnings and gains on them) are generally tax free until distributed by the plan. State tax forms need fill Kinds of Plans There are two basic kinds of qualified plans—defined contribution plans and defined benefit plans—and different rules apply to each. State tax forms need fill You can have more than one qualified plan, but your contributions to all the plans must not total more than the overall limits discussed under Contributions and Employer Deduction, later. State tax forms need fill Defined Contribution Plan A defined contribution plan provides an individual account for each participant in the plan. State tax forms need fill It provides benefits to a participant largely based on the amount contributed to that participant's account. State tax forms need fill Benefits are also affected by any income, expenses, gains, losses, and forfeitures of other accounts that may be allocated to an account. State tax forms need fill A defined contribution plan can be either a profit-sharing plan or a money purchase pension plan. State tax forms need fill Profit-sharing plan. State tax forms need fill   Although it is called a “profit-sharing plan,” you do not actually have to make a business profit for the year in order to make a contribution (except for yourself if you are self-employed as discussed under Self-employed Individual, later). State tax forms need fill A profit-sharing plan can be set up to allow for discretionary employer contributions, meaning the amount contributed each year to the plan is not fixed. State tax forms need fill An employer may even make no contribution to the plan for a given year. State tax forms need fill   The plan must provide a definite formula for allocating the contribution among the participants and for distributing the accumulated funds to the employees after they reach a certain age, after a fixed number of years, or upon certain other occurrences. State tax forms need fill   In general, you can be more flexible in making contributions to a profit-sharing plan than to a money purchase pension plan (discussed next) or a defined benefit plan (discussed later). State tax forms need fill Money purchase pension plan. State tax forms need fill   Contributions to a money purchase pension plan are fixed and are not based on your business profits. State tax forms need fill For example, if the plan requires that contributions be 10% of the participants' compensation without regard to whether you have profits (or the self-employed person has earned income), the plan is a money purchase pension plan. State tax forms need fill This applies even though the compensation of a self-employed individual as a participant is based on earned income derived from business profits. State tax forms need fill Defined Benefit Plan A defined benefit plan is any plan that is not a defined contribution plan. State tax forms need fill Contributions to a defined benefit plan are based on what is needed to provide definitely determinable benefits to plan participants. State tax forms need fill Actuarial assumptions and computations are required to figure these contributions. State tax forms need fill Generally, you will need continuing professional help to have a defined benefit plan. State tax forms need fill Qualification Rules To qualify for the tax benefits available to qualified plans, a plan must meet certain requirements (qualification rules) of the tax law. State tax forms need fill Generally, unless you write your own plan, the financial institution that provided your plan will take the continuing responsibility for meeting qualification rules that are later changed. State tax forms need fill The following is a brief overview of important qualification rules that generally have not yet been discussed. State tax forms need fill It is not intended to be all-inclusive. State tax forms need fill See Setting Up a Qualified Plan , later. State tax forms need fill Generally, the following qualification rules also apply to a SIMPLE 401(k) retirement plan. State tax forms need fill A SIMPLE 401(k) plan is, however, not subject to the top-heavy plan rules and nondiscrimination rules if the plan satisfies the provisions discussed in chapter 3 under SIMPLE 401(k) Plan. State tax forms need fill Plan assets must not be diverted. State tax forms need fill   Your plan must make it impossible for its assets to be used for, or diverted to, purposes other than the benefit of employees and their beneficiaries. State tax forms need fill As a general rule, the assets cannot be diverted to the employer. State tax forms need fill Minimum coverage requirement must be met. State tax forms need fill   To be a qualified plan, a defined benefit plan must benefit at least the lesser of the following. State tax forms need fill 50 employees, or The greater of: 40% of all employees, or Two employees. State tax forms need fill If there is only one employee, the plan must benefit that employee. State tax forms need fill Contributions or benefits must not discriminate. State tax forms need fill   Under the plan, contributions or benefits to be provided must not discriminate in favor of highly compensated employees. State tax forms need fill Contributions and benefits must not be more than certain limits. State tax forms need fill   Your plan must not provide for contributions or benefits that are more than certain limits. State tax forms need fill The limits apply to the annual contributions and other additions to the account of a participant in a defined contribution plan and to the annual benefit payable to a participant in a defined benefit plan. State tax forms need fill These limits are discussed later in this chapter under Contributions. State tax forms need fill Minimum vesting standard must be met. State tax forms need fill   Your plan must satisfy certain requirements regarding when benefits vest. State tax forms need fill A benefit is vested (you have a fixed right to it) when it becomes nonforfeitable. State tax forms need fill A benefit is nonforfeitable if it cannot be lost upon the happening, or failure to happen, of any event. State tax forms need fill Special rules apply to forfeited benefit amounts. State tax forms need fill In defined contribution plans, forfeitures can be allocated to the accounts of remaining participants in a nondiscriminatory way, or they can be used to reduce your contributions. State tax forms need fill   Forfeitures under a defined benefit plan cannot be used to increase the benefits any employee would otherwise receive under the plan. State tax forms need fill Forfeitures must be used instead to reduce employer contributions. State tax forms need fill Participation. State tax forms need fill   In general, an employee must be allowed to participate in your plan if he or she meets both the following requirements. State tax forms need fill Has reached age 21. State tax forms need fill Has at least 1 year of service (2 years if the plan is not a 401(k) plan and provides that after not more than 2 years of service the employee has a nonforfeitable right to all his or her accrued benefit). State tax forms need fill A plan cannot exclude an employee because he or she has reached a specified age. State tax forms need fill Leased employee. State tax forms need fill   A leased employee, defined in chapter 1, who performs services for you (recipient of the services) is treated as your employee for certain plan qualification rules. State tax forms need fill These rules include those in all the following areas. State tax forms need fill Nondiscrimination in coverage, contributions, and benefits. State tax forms need fill Minimum age and service requirements. State tax forms need fill Vesting. State tax forms need fill Limits on contributions and benefits. State tax forms need fill Top-heavy plan requirements. State tax forms need fill Contributions or benefits provided by the leasing organization for services performed for you are treated as provided by you. State tax forms need fill Benefit payment must begin when required. State tax forms need fill   Your plan must provide that, unless the participant chooses otherwise, the payment of benefits to the participant must begin within 60 days after the close of the latest of the following periods. State tax forms need fill The plan year in which the participant reaches the earlier of age 65 or the normal retirement age specified in the plan. State tax forms need fill The plan year in which the 10th anniversary of the year in which the participant began participating in the plan occurs. State tax forms need fill The plan year in which the participant separates from service. State tax forms need fill Early retirement. State tax forms need fill   Your plan can provide for payment of retirement benefits before the normal retirement age. State tax forms need fill If your plan offers an early retirement benefit, a participant who separates from service before satisfying the early retirement age requirement is entitled to that benefit if he or she meets both the following requirements. State tax forms need fill Satisfies the service requirement for the early retirement benefit. State tax forms need fill Separates from service with a nonforfeitable right to an accrued benefit. State tax forms need fill The benefit, which may be actuarially reduced, is payable when the early retirement age requirement is met. State tax forms need fill Required minimum distributions. State tax forms need fill   Special rules require minimum annual distributions from qualified plans, generally beginning after age  70½. State tax forms need fill See Required Distributions , under Distributions, later. State tax forms need fill Survivor benefits. State tax forms need fill   Defined benefit and money purchase pension plans must provide automatic survivor benefits in both the following forms. State tax forms need fill A qualified joint and survivor annuity for a vested participant who does not die before the annuity starting date. State tax forms need fill A qualified pre-retirement survivor annuity for a vested participant who dies before the annuity starting date and who has a surviving spouse. State tax forms need fill   The automatic survivor benefit also applies to any participant under a profit-sharing plan unless all the following conditions are met. State tax forms need fill The participant does not choose benefits in the form of a life annuity. State tax forms need fill The plan pays the full vested account balance to the participant's surviving spouse (or other beneficiary if the surviving spouse consents or if there is no surviving spouse) if the participant dies. State tax forms need fill The plan is not a direct or indirect transferee of a plan that must provide automatic survivor benefits. State tax forms need fill Loan secured by benefits. State tax forms need fill   If automatic survivor benefits are required for a spouse under a plan, he or she must consent to a loan that uses as security the accrued benefits in the plan. State tax forms need fill Waiver of survivor benefits. State tax forms need fill   Each plan participant may be permitted to waive the joint and survivor annuity or the pre-retirement survivor annuity (or both), but only if the participant has the written consent of the spouse. State tax forms need fill The plan also must allow the participant to withdraw the waiver. State tax forms need fill The spouse's consent must be witnessed by a plan representative or notary public. State tax forms need fill Waiver of 30-day waiting period before annuity starting date. State tax forms need fill    A plan may permit a participant to waive (with spousal consent) the 30-day minimum waiting period after a written explanation of the terms and conditions of a joint and survivor annuity is provided to each participant. State tax forms need fill   The waiver is allowed only if the distribution begins more than 7 days after the written explanation is provided. State tax forms need fill Involuntary cash-out of benefits not more than dollar limit. State tax forms need fill   A plan may provide for the immediate distribution of the participant's benefit under the plan if the present value of the benefit is not greater than $5,000. State tax forms need fill   However, the distribution cannot be made after the annuity starting date unless the participant and the spouse or surviving spouse of a participant who died (if automatic survivor benefits are required for a spouse under the plan) consents in writing to the distribution. State tax forms need fill If the present value is greater than $5,000, the plan must have the written consent of the participant and the spouse or surviving spouse (if automatic survivor benefits are required for a spouse under the plan) for any immediate distribution of the benefit. State tax forms need fill   Benefits attributable to rollover contributions and earnings on them can be ignored in determining the present value of these benefits. State tax forms need fill   A plan must provide for the automatic rollover of any cash-out distribution of more than $1,000 to an individual retirement account or annuity, unless the participant chooses otherwise. State tax forms need fill A section 402(f) notice must be sent prior to an involuntary cash-out of an eligible rollover distribution. State tax forms need fill See Section 402(f) Notice under Distributions, later, for more details. State tax forms need fill Consolidation, merger, or transfer of assets or liabilities. State tax forms need fill   Your plan must provide that, in the case of any merger or consolidation with, or transfer of assets or liabilities to, any other plan, each participant would (if the plan then terminated) receive a benefit equal to or more than the benefit he or she would have been entitled to just before the merger, etc. State tax forms need fill (if the plan had then terminated). State tax forms need fill Benefits must not be assigned or alienated. State tax forms need fill   Your plan must provide that a participant's or beneficiary's benefits under the plan cannot be taken away by any legal or equitable proceeding except as provided below or pursuant to certain judgements or settlements against the participant for violations of plan rules. State tax forms need fill Exception for certain loans. State tax forms need fill   A loan from the plan (not from a third party) to a participant or beneficiary is not treated as an assignment or alienation if the loan is secured by the participant's accrued nonforfeitable benefit and is exempt from the tax on prohibited transactions under section 4975(d)(1) or would be exempt if the participant were a disqualified person. State tax forms need fill A disqualified person is defined later in this chapter under Prohibited Transactions. State tax forms need fill Exception for QDRO. State tax forms need fill   Compliance with a QDRO (qualified domestic relations order) does not result in a prohibited assignment or alienation of benefits. State tax forms need fill   Payments to an alternate payee under a QDRO before the participant attains age 59½ are not subject to the 10% additional tax that would otherwise apply under certain circumstances. State tax forms need fill Benefits distributed to an alternate payee under a QDRO can be rolled over tax free to an individual retirement account or to an individual retirement annuity. State tax forms need fill No benefit reduction for social security increases. State tax forms need fill   Your plan must not permit a benefit reduction for a post-separation increase in the social security benefit level or wage base for any participant or beneficiary who is receiving benefits under your plan, or who is separated from service and has nonforfeitable rights to benefits. State tax forms need fill This rule also applies to plans supplementing the benefits provided by other federal or state laws. State tax forms need fill Elective deferrals must be limited. State tax forms need fill   If your plan provides for elective deferrals, it must limit those deferrals to the amount in effect for that particular year. State tax forms need fill See Limit on Elective Deferrals later in this chapter. State tax forms need fill Top-heavy plan requirements. State tax forms need fill   A top-heavy plan is one that mainly favors partners, sole proprietors, and other key employees. State tax forms need fill   A plan is top-heavy for a plan year if, for the preceding plan year, the total value of accrued benefits or account balances of key employees is more than 60% of the total value of accrued benefits or account balances of all employees. State tax forms need fill Additional requirements apply to a top-heavy plan primarily to provide minimum benefits or contributions for non-key employees covered by the plan. State tax forms need fill   Most qualified plans, whether or not top-heavy, must contain provisions that meet the top-heavy requirements and will take effect in plan years in which the plans are top-heavy. State tax forms need fill These qualification requirements for top-heavy plans are explained in section 416 and its regulations. State tax forms need fill SIMPLE and safe harbor 401(k) plan exception. State tax forms need fill   The top-heavy plan requirements do not apply to SIMPLE 401(k) plans, discussed earlier in chapter 3, or to safe harbor 401(k) plans that consist solely of safe harbor contributions, discussed later in this chapter. State tax forms need fill QACAs (discussed later) also are not subject to top-heavy requirements. State tax forms need fill Setting Up a Qualified Plan There are two basic steps in setting up a qualified plan. State tax forms need fill First you adopt a written plan. State tax forms need fill Then you invest the plan assets. State tax forms need fill You, the employer, are responsible for setting up and maintaining the plan. State tax forms need fill If you are self-employed, it is not necessary to have employees besides yourself to sponsor and set up a qualified plan. State tax forms need fill If you have employees, see Participation, under Qualification Rules, earlier. State tax forms need fill Set-up deadline. State tax forms need fill   To take a deduction for contributions for a tax year, your plan must be set up (adopted) by the last day of that year (December 31 for calendar-year employers). State tax forms need fill Credit for startup costs. State tax forms need fill   You may be able to claim a tax credit for part of the ordinary and necessary costs of starting a qualified plan that first became effective in 2013. State tax forms need fill For more information, see Credit for startup costs under Reminders, earlier. State tax forms need fill Adopting a Written Plan You must adopt a written plan. State tax forms need fill The plan can be an IRS-approved master or prototype plan offered by a sponsoring organization. State tax forms need fill Or it can be an individually designed plan. State tax forms need fill Written plan requirement. State tax forms need fill   To qualify, the plan you set up must be in writing and must be communicated to your employees. State tax forms need fill The plan's provisions must be stated in the plan. State tax forms need fill It is not sufficient for the plan to merely refer to a requirement of the Internal Revenue Code. State tax forms need fill Master or prototype plans. State tax forms need fill   Most qualified plans follow a standard form of plan (a master or prototype plan) approved by the IRS. State tax forms need fill Master and prototype plans are plans made available by plan providers for adoption by employers (including self-employed individuals). State tax forms need fill Under a master plan, a single trust or custodial account is established, as part of the plan, for the joint use of all adopting employers. State tax forms need fill Under a prototype plan, a separate trust or custodial account is established for each employer. State tax forms need fill Plan providers. State tax forms need fill   The following organizations generally can provide IRS-approved master or prototype plans. State tax forms need fill Banks (including some savings and loan associations and federally insured credit unions). State tax forms need fill Trade or professional organizations. State tax forms need fill Insurance companies. State tax forms need fill Mutual funds. State tax forms need fill Individually designed plan. State tax forms need fill   If you prefer, you can set up an individually designed plan to meet specific needs. State tax forms need fill Although advance IRS approval is not required, you can apply for approval by paying a fee and requesting a determination letter. State tax forms need fill You may need professional help for this. State tax forms need fill See Rev. State tax forms need fill Proc. State tax forms need fill 2014-6, 2014-1 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 198, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2014-1_IRB/ar10. State tax forms need fill html, as annually updated, that may help you decide whether to apply for approval. State tax forms need fill Internal Revenue Bulletins are available on the IRS website at IRS. State tax forms need fill gov They are also available at most IRS offices and at certain libraries. State tax forms need fill User fee. State tax forms need fill   The fee mentioned earlier for requesting a determination letter does not apply to employers who have 100 or fewer employees who received at least $5,000 of compensation from the employer for the preceding year. State tax forms need fill At least one of them must be a non-highly compensated employee participating in the plan. State tax forms need fill The fee does not apply to requests made by the later of the following dates. State tax forms need fill The end of the 5th plan year the plan is in effect. State tax forms need fill The end of any remedial amendment period for the plan that begins within the first 5 plan years. State tax forms need fill The request cannot be made by the sponsor of a prototype or similar plan the sponsor intends to market to participating employers. State tax forms need fill   For more information about whether the user fee applies, see Rev. State tax forms need fill Proc. State tax forms need fill 2014-8, 2014-1 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 242, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2014-1_IRB/ar12. State tax forms need fill html, as may be annually updated; Notice 2003-49, 2003-32 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 294, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2003-32_IRB/ar13. State tax forms need fill html; and Notice 2011-86, 2011-45 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 698, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2011-45_IRB/ar11. State tax forms need fill html. State tax forms need fill Investing Plan Assets In setting up a qualified plan, you arrange how the plan's funds will be used to build its assets. State tax forms need fill You can establish a trust or custodial account to invest the funds. State tax forms need fill You, the trust, or the custodial account can buy an annuity contract from an insurance company. State tax forms need fill Life insurance can be included only if it is incidental to the retirement benefits. State tax forms need fill You set up a trust by a legal instrument (written document). State tax forms need fill You may need professional help to do this. State tax forms need fill You can set up a custodial account with a bank, savings and loan association, credit union, or other person who can act as the plan trustee. State tax forms need fill You do not need a trust or custodial account, although you can have one, to invest the plan's funds in annuity contracts or face-amount certificates. State tax forms need fill If anyone other than a trustee holds them, however, the contracts or certificates must state they are not transferable. State tax forms need fill Other plan requirements. State tax forms need fill   For information on other important plan requirements, see Qualification Rules , earlier in this chapter. State tax forms need fill Minimum Funding Requirement In general, if your plan is a money purchase pension plan or a defined benefit plan, you must actually pay enough into the plan to satisfy the minimum funding standard for each year. State tax forms need fill Determining the amount needed to satisfy the minimum funding standard for a defined benefit plan is complicated, and you should seek professional help in order to meet these contribution requirements. State tax forms need fill For information on this funding requirement, see section 412 and its regulations. State tax forms need fill Quarterly installments of required contributions. State tax forms need fill   If your plan is a defined benefit plan subject to the minimum funding requirements, you generally must make quarterly installment payments of the required contributions. State tax forms need fill If you do not pay the full installments timely, you may have to pay interest on any underpayment for the period of the underpayment. State tax forms need fill Due dates. State tax forms need fill   The due dates for the installments are 15 days after the end of each quarter. State tax forms need fill For a calendar-year plan, the installments are due April 15, July 15, October 15, and January 15 (of the following year). State tax forms need fill Installment percentage. State tax forms need fill   Each quarterly installment must be 25% of the required annual payment. State tax forms need fill Extended period for making contributions. State tax forms need fill   Additional contributions required to satisfy the minimum funding requirement for a plan year will be considered timely if made by 8½ months after the end of that year. State tax forms need fill Contributions A qualified plan is generally funded by your contributions. State tax forms need fill However, employees participating in the plan may be permitted to make contributions, and you may be permitted to make contributions on your own behalf. State tax forms need fill See Employee Contributions and Elective Deferrals later. State tax forms need fill Contributions deadline. State tax forms need fill   You can make deductible contributions for a tax year up to the due date of your return (plus extensions) for that year. State tax forms need fill Self-employed individual. State tax forms need fill   You can make contributions on behalf of yourself only if you have net earnings (compensation) from self-employment in the trade or business for which the plan was set up. State tax forms need fill Your net earnings must be from your personal services, not from your investments. State tax forms need fill If you have a net loss from self-employment, you cannot make contributions for yourself for the year, even if you can contribute for common-law employees based on their compensation. State tax forms need fill Employer Contributions There are certain limits on the contributions and other annual additions you can make each year for plan participants. State tax forms need fill There are also limits on the amount you can deduct. State tax forms need fill See Deduction Limits , later. State tax forms need fill Limits on Contributions and Benefits Your plan must provide that contributions or benefits cannot exceed certain limits. State tax forms need fill The limits differ depending on whether your plan is a defined contribution plan or a defined benefit plan. State tax forms need fill Defined benefit plan. State tax forms need fill   For 2013, the annual benefit for a participant under a defined benefit plan cannot exceed the lesser of the following amounts. State tax forms need fill 100% of the participant's average compensation for his or her highest 3 consecutive calendar years. State tax forms need fill $205,000 ($210,000 for 2014). State tax forms need fill Defined contribution plan. State tax forms need fill   For 2013, a defined contribution plan's annual contributions and other additions (excluding earnings) to the account of a participant cannot exceed the lesser of the following amounts. State tax forms need fill 100% of the participant's compensation. State tax forms need fill $51,000 ($52,000 for 2014). State tax forms need fill   Catch-up contributions (discussed later under Limit on Elective Deferrals) are not subject to the above limit. State tax forms need fill Employee Contributions Participants may be permitted to make nondeductible contributions to a plan in addition to your contributions. State tax forms need fill Even though these employee contributions are not deductible, the earnings on them are tax free until distributed in later years. State tax forms need fill Also, these contributions must satisfy the actual contribution percentage (ACP) test of section 401(m)(2), a nondiscrimination test that applies to employee contributions and matching contributions. State tax forms need fill See Regulations sections 1. State tax forms need fill 401(k)-2 and 1. State tax forms need fill 401(m)-2 for further guidance relating to the nondiscrimination rules under sections 401(k) and 401(m). State tax forms need fill When Contributions Are Considered Made You generally apply your plan contributions to the year in which you make them. State tax forms need fill But you can apply them to the previous year if all the following requirements are met. State tax forms need fill You make them by the due date of your tax return for the previous year (plus extensions). State tax forms need fill The plan was established by the end of the previous year. State tax forms need fill The plan treats the contributions as though it had received them on the last day of the previous year. State tax forms need fill You do either of the following. State tax forms need fill You specify in writing to the plan administrator or trustee that the contributions apply to the previous year. State tax forms need fill You deduct the contributions on your tax return for the previous year. State tax forms need fill A partnership shows contributions for partners on Form 1065. State tax forms need fill Employer's promissory note. State tax forms need fill   Your promissory note made out to the plan is not a payment that qualifies for the deduction. State tax forms need fill Also, issuing this note is a prohibited transaction subject to tax. State tax forms need fill See Prohibited Transactions , later. State tax forms need fill Employer Deduction You can usually deduct, subject to limits, contributions you make to a qualified plan, including those made for your own retirement. State tax forms need fill The contributions (and earnings and gains on them) are generally tax free until distributed by the plan. State tax forms need fill Deduction Limits The deduction limit for your contributions to a qualified plan depends on the kind of plan you have. State tax forms need fill Defined contribution plans. State tax forms need fill   The deduction for contributions to a defined contribution plan (profit-sharing plan or money purchase pension plan) cannot be more than 25% of the compensation paid (or accrued) during the year to your eligible employees participating in the plan. State tax forms need fill If you are self-employed, you must reduce this limit in figuring the deduction for contributions you make for your own account. State tax forms need fill See Deduction Limit for Self-Employed Individuals , later. State tax forms need fill   When figuring the deduction limit, the following rules apply. State tax forms need fill Elective deferrals (discussed later) are not subject to the limit. State tax forms need fill Compensation includes elective deferrals. State tax forms need fill The maximum compensation that can be taken into account for each employee in 2013 is $255,000 ($260,000 for 2014). State tax forms need fill Defined benefit plans. State tax forms need fill   The deduction for contributions to a defined benefit plan is based on actuarial assumptions and computations. State tax forms need fill Consequently, an actuary must figure your deduction limit. State tax forms need fill    In figuring the deduction for contributions, you cannot take into account any contributions or benefits that are more than the limits discussed earlier under Limits on Contributions and Benefits, earlier. State tax forms need fill Table 4–1. State tax forms need fill Carryover of Excess Contributions Illustrated—Profit-Sharing Plan (000's omitted) Year Participants' compensation Participants' share of required contribution (10% of annual profit) Deductible  limit for current year (25% of compensation) Contribution Excess contribution carryover used1 Total  deduction including carryovers Excess contribution carryover available at end of year 2010 $1,000 $100 $250 $100 $ 0 $100 $ 0 2011 400 165 100 165 0 100 65 2012 500 100 125 100 25 125 40 2013 600 100 150 100 40 140 0  1There were no carryovers from years before 2010. State tax forms need fill Deduction Limit for Self-Employed Individuals If you make contributions for yourself, you need to make a special computation to figure your maximum deduction for these contributions. State tax forms need fill Compensation is your net earnings from self-employment, defined in chapter 1. State tax forms need fill This definition takes into account both the following items. State tax forms need fill The deduction for the deductible part of your self-employment tax. State tax forms need fill The deduction for contributions on your behalf to the plan. State tax forms need fill The deduction for your own contributions and your net earnings depend on each other. State tax forms need fill For this reason, you determine the deduction for your own contributions indirectly by reducing the contribution rate called for in your plan. State tax forms need fill To do this, use either the Rate Table for Self-Employed or the Rate Worksheet for Self-Employed in chapter 5. State tax forms need fill Then figure your maximum deduction by using the Deduction Worksheet for Self-Employed in chapter 5. State tax forms need fill Where To Deduct Contributions Deduct the contributions you make for your common-law employees on your tax return. State tax forms need fill For example, sole proprietors deduct them on Schedule C (Form 1040) or Schedule F (Form 1040); partnerships deduct them on Form 1065; and corporations deduct them on Form 1120, or Form 1120S. State tax forms need fill Sole proprietors and partners deduct contributions for themselves on line 28 of Form 1040. State tax forms need fill (If you are a partner, contributions for yourself are shown on the Schedule K-1 (Form 1065) you get from the partnership. State tax forms need fill ) Carryover of Excess Contributions If you contribute more to the plans than you can deduct for the year, you can carry over and deduct the difference in later years, combined with your contributions for those years. State tax forms need fill Your combined deduction in a later year is limited to 25% of the participating employees' compensation for that year. State tax forms need fill For purposes of this limit, a SEP is treated as a profit-sharing (defined contribution) plan. State tax forms need fill However, this percentage limit must be reduced to figure your maximum deduction for contributions you make for yourself. State tax forms need fill See Deduction Limit for Self-Employed Individuals, earlier. State tax forms need fill The amount you carry over and deduct may be subject to the excise tax discussed next. State tax forms need fill Table 4-1, earlier, illustrates the carryover of excess contributions to a profit-sharing plan. State tax forms need fill Excise Tax for Nondeductible (Excess) Contributions If you contribute more than your deduction limit to a retirement plan, you have made nondeductible contributions and you may be liable for an excise tax. State tax forms need fill In general, a 10% excise tax applies to nondeductible contributions made to qualified pension and profit-sharing plans and to SEPs. State tax forms need fill Special rule for self-employed individuals. State tax forms need fill   The 10% excise tax does not apply to any contribution made to meet the minimum funding requirements in a money purchase pension plan or a defined benefit plan. State tax forms need fill Even if that contribution is more than your earned income from the trade or business for which the plan is set up, the difference is not subject to this excise tax. State tax forms need fill See Minimum Funding Requirement , earlier. State tax forms need fill Reporting the tax. State tax forms need fill   You must report the tax on your nondeductible contributions on Form 5330. State tax forms need fill Form 5330 includes a computation of the tax. State tax forms need fill See the separate instructions for completing the form. State tax forms need fill Elective Deferrals (401(k) Plans) Your qualified plan can include a cash or deferred arrangement under which participants can choose to have you contribute part of their before-tax compensation to the plan rather than receive the compensation in cash. State tax forms need fill A plan with this type of arrangement is popularly known as a “401(k) plan. State tax forms need fill ” (As a self-employed individual participating in the plan, you can contribute part of your before-tax net earnings from the business. State tax forms need fill ) This contribution is called an “elective deferral” because participants choose (elect) to defer receipt of the money. State tax forms need fill In general, a qualified plan can include a cash or deferred arrangement only if the qualified plan is one of the following plans. State tax forms need fill A profit-sharing plan. State tax forms need fill A money purchase pension plan in existence on June 27, 1974, that included a salary reduction arrangement on that date. State tax forms need fill Partnership. State tax forms need fill   A partnership can have a 401(k) plan. State tax forms need fill Restriction on conditions of participation. State tax forms need fill   The plan cannot require, as a condition of participation, that an employee complete more than 1 year of service. State tax forms need fill Matching contributions. State tax forms need fill   If your plan permits, you can make matching contributions for an employee who makes an elective deferral to your 401(k) plan. State tax forms need fill For example, the plan might provide that you will contribute 50 cents for each dollar your participating employees choose to defer under your 401(k) plan. State tax forms need fill Matching contributions are generally subject to the ACP test discussed earlier under Employee Contributions. State tax forms need fill Nonelective contributions. State tax forms need fill   You can also make contributions (other than matching contributions) for your participating employees without giving them the choice to take cash instead. State tax forms need fill These are called nonelective contributions. State tax forms need fill Employee compensation limit. State tax forms need fill   No more than $255,000 of the employee's compensation can be taken into account when figuring contributions other than elective deferrals in 2013. State tax forms need fill This limit is $260,000 in 2014. State tax forms need fill SIMPLE 401(k) plan. State tax forms need fill   If you had 100 or fewer employees who earned $5,000 or more in compensation during the preceding year, you may be able to set up a SIMPLE 401(k) plan. State tax forms need fill A SIMPLE 401(k) plan is not subject to the nondiscrimination and top-heavy plan requirements discussed earlier under Qualification Rules. State tax forms need fill For details about SIMPLE 401(k) plans, see SIMPLE 401(k) Plan in chapter 3. State tax forms need fill Distributions. State tax forms need fill   Certain rules apply to distributions from 401(k) plans. State tax forms need fill See Distributions From 401(k) Plans , later. State tax forms need fill Limit on Elective Deferrals There is a limit on the amount an employee can defer each year under these plans. State tax forms need fill This limit applies without regard to community property laws. State tax forms need fill Your plan must provide that your employees cannot defer more than the limit that applies for a particular year. State tax forms need fill For 2013 and 2014, the basic limit on elective deferrals is $17,500. State tax forms need fill This limit applies to all salary reduction contributions and elective deferrals. State tax forms need fill If, in conjunction with other plans, the deferral limit is exceeded, the difference is included in the employee's gross income. State tax forms need fill Catch-up contributions. State tax forms need fill   A 401(k) plan can permit participants who are age 50 or over at the end of the calendar year to also make catch-up contributions. State tax forms need fill The catch-up contribution limit for 2013 and 2014 is $5,500. State tax forms need fill Elective deferrals are not treated as catch-up contributions for 2013 until they exceed the $17,500 limit, the actual deferral percentage (ADP) test limit of section 401(k)(3), or the plan limit (if any). State tax forms need fill However, the catch-up contribution a participant can make for a year cannot exceed the lesser of the following amounts. State tax forms need fill The catch-up contribution limit. State tax forms need fill The excess of the participant's compensation over the elective deferrals that are not catch-up contributions. State tax forms need fill Treatment of contributions. State tax forms need fill   Your contributions to your own 401(k) plan are generally deductible by you for the year they are contributed to the plan. State tax forms need fill Matching or nonelective contributions made to the plan are also deductible by you in the year of contribution. State tax forms need fill Your employees' elective deferrals other than designated Roth contributions are tax free until distributed from the plan. State tax forms need fill Elective deferrals are included in wages for social security, Medicare, and federal unemployment (FUTA) tax. State tax forms need fill Forfeiture. State tax forms need fill   Employees have a nonforfeitable right at all times to their accrued benefit attributable to elective deferrals. State tax forms need fill Reporting on Form W-2. State tax forms need fill   Do not include elective deferrals in the “Wages, tips, other compensation” box of Form W-2. State tax forms need fill You must, however, include them in the “Social security wages” and “Medicare wages and tips” boxes. State tax forms need fill You must also include them in box 12. State tax forms need fill Mark the “Retirement plan” checkbox in box 13. State tax forms need fill For more information, see the Form W-2 instructions. State tax forms need fill Automatic Enrollment Your 401(k) plan can have an automatic enrollment feature. State tax forms need fill Under this feature, you can automatically reduce an employee's pay by a fixed percentage and contribute that amount to the 401(k) plan on his or her behalf unless the employee affirmatively chooses not to have his or her pay reduced or chooses to have it reduced by a different percentage. State tax forms need fill These contributions are elective deferrals. State tax forms need fill An automatic enrollment feature will encourage employees' saving for retirement and will help your plan pass nondiscrimination testing (if applicable). State tax forms need fill For more information, see Publication 4674, Automatic Enrollment 401(k) Plans for Small Businesses. State tax forms need fill Eligible automatic contribution arrangement. State tax forms need fill   Under an eligible automatic contribution arrangement (EACA), a participant is treated as having elected to have the employer make contributions in an amount equal to a uniform percentage of compensation. State tax forms need fill This automatic election will remain in place until the participant specifically elects not to have such deferral percentage made (or elects a different percentage). State tax forms need fill There is no required deferral percentage. State tax forms need fill Withdrawals. State tax forms need fill   Under an EACA, you may allow participants to withdraw their automatic contributions to the plan if certain conditions are met. State tax forms need fill The participant must elect the withdrawal no later than 90 days after the date of the first elective contributions under the EACA. State tax forms need fill The participant must withdraw the entire amount of EACA default contributions, including any earnings thereon. State tax forms need fill   If the plan allows withdrawals under the EACA, the amount of the withdrawal other than the amount of any designated Roth contributions must be included in the employee's gross income for the tax year in which the distribution is made. State tax forms need fill The additional 10% tax on early distributions will not apply to the distribution. State tax forms need fill Notice requirement. State tax forms need fill   Under an EACA, employees must be given written notice of the terms of the EACA within a reasonable period of time before each plan year. State tax forms need fill The notice must be written in a manner calculated to be understood by the average employee and be sufficiently accurate and comprehensive in order to apprise the employee of his or her rights and obligations under the EACA. State tax forms need fill The notice must include an explanation of the employee's right to elect not to have elective contributions made on his or her behalf, or to elect a different percentage, and the employee must be given a reasonable period of time after receipt of the notice before the first elective contribution is made. State tax forms need fill The notice also must explain how contributions will be invested in the absence of an investment election by the employee. State tax forms need fill Qualified automatic contribution arrangement. State tax forms need fill    A qualified automatic contribution arrangement (QACA) is a type of safe harbor plan. State tax forms need fill It contains an automatic enrollment feature, and mandatory employer contributions are required. State tax forms need fill If your plan includes a QACA, it will not be subject to the ADP test (discussed later) nor the top-heavy requirements (discussed earlier). State tax forms need fill Additionally, your plan will not be subject to the actual contribution percentage (ACP) test if certain additional requirements are met. State tax forms need fill Under a QACA, each employee who is eligible to participate in the plan will be treated as having elected to make elective deferral contributions equal to a certain default percentage of compensation. State tax forms need fill In order to not have default elective deferrals made, an employee must make an affirmative election specifying a deferral percentage (including zero, if desired). State tax forms need fill If an employee does not make an affirmative election, the default deferral percentage must meet the following conditions. State tax forms need fill It must be applied uniformly. State tax forms need fill It must not exceed 10%. State tax forms need fill It must be at least 3% in the first plan year it applies to an employee and through the end of the following year. State tax forms need fill It must increase to at least 4% in the following plan year. State tax forms need fill It must increase to at least 5% in the following plan year. State tax forms need fill It must increase to at least 6% in subsequent plan years. State tax forms need fill Matching or nonelective contributions. State tax forms need fill   Under the terms of the QACA, you must make either matching or nonelective contributions according to the following terms. State tax forms need fill Matching contributions. State tax forms need fill You must make matching contributions on behalf of each non-highly compensated employee in the following amounts. State tax forms need fill An amount equal to 100% of elective deferrals, up to 1% of compensation. State tax forms need fill An amount equal to 50% of elective deferrals, from 1% up to 6% of compensation. State tax forms need fill Other formulas may be used as long as they are at least as favorable to non-highly compensated employees. State tax forms need fill The rate of matching contributions for highly compensated employees, including yourself, must not exceed the rates for non-highly compensated employees. State tax forms need fill Nonelective contributions. State tax forms need fill You must make nonelective contributions on behalf of every non-highly compensated employee eligible to participate in the plan, regardless of whether they elected to participate, in an amount equal to at least 3% of their compensation. State tax forms need fill Vesting requirements. State tax forms need fill   All accrued benefits attributed to matching or nonelective contributions under the QACA must be 100% vested for all employees who complete 2 years of service. State tax forms need fill These contributions are subject to special withdrawal restrictions, discussed later. State tax forms need fill Notice requirements. State tax forms need fill   Each employee eligible to participate in the QACA must receive written notice of their rights and obligations under the QACA, within a reasonable period before each plan year. State tax forms need fill The notice must be written in a manner calculated to be understood by the average employee, and it must be accurate and comprehensive. State tax forms need fill The notice must explain their right to elect not to have elective contributions made on their behalf, or to have contributions made at a different percentage than the default percentage. State tax forms need fill Additionally, the notice must explain how contributions will be invested in the absence of any investment election by the employee. State tax forms need fill The employee must have a reasonable period of time after receiving the notice to make such contribution and investment elections prior to the first contributions under the QACA. State tax forms need fill Treatment of Excess Deferrals If the total of an employee's deferrals is more than the limit for 2013, the employee can have the difference (called an excess deferral) paid out of any of the plans that permit these distributions. State tax forms need fill He or she must notify the plan by April 15, 2014 (or an earlier date specified in the plan), of the amount to be paid from each plan. State tax forms need fill The plan must then pay the employee that amount, plus earnings on the amount through the end of 2013, by April 15, 2014. State tax forms need fill Excess withdrawn by April 15. State tax forms need fill   If the employee takes out the excess deferral by April 15, 2014, it is not reported again by including it in the employee's gross income for 2014. State tax forms need fill However, any income earned in 2013 on the excess deferral taken out is taxable in the tax year in which it is taken out. State tax forms need fill The distribution is not subject to the additional 10% tax on early distributions. State tax forms need fill   If the employee takes out part of the excess deferral and the income on it, the distribution is treated as made proportionately from the excess deferral and the income. State tax forms need fill   Even if the employee takes out the excess deferral by April 15, the amount will be considered for purposes of nondiscrimination testing requirements of the plan, unless the distributed amount is for a non-highly compensated employee who participates in only one employer's 401(k) plan or plans. State tax forms need fill Excess not withdrawn by April 15. State tax forms need fill   If the employee does not take out the excess deferral by April 15, 2014, the excess, though taxable in 2013, is not included in the employee's cost basis in figuring the taxable amount of any eventual distributions under the plan. State tax forms need fill In effect, an excess deferral left in the plan is taxed twice, once when contributed and again when distributed. State tax forms need fill Also, if the employee's excess deferral is allowed to stay in the plan and the employee participates in no other employer's plan, the plan can be disqualified. State tax forms need fill Reporting corrective distributions on Form 1099-R. State tax forms need fill   Report corrective distributions of excess deferrals (including any earnings) on Form 1099-R. State tax forms need fill For specific information about reporting corrective distributions, see the Instructions for Forms 1099-R and 5498. State tax forms need fill Tax on excess contributions of highly compensated employees. State tax forms need fill   The law provides tests to detect discrimination in a plan. State tax forms need fill If tests, such as the actual deferral percentage test (ADP test) (see section 401(k)(3)) and the actual contribution percentage test (ACP test) (see section 401(m)(2)), show that contributions for highly compensated employees are more than the test limits for these contributions, the employer may have to pay a 10% excise tax. State tax forms need fill Report the tax on Form 5330. State tax forms need fill The ADP test does not apply to a safe harbor 401(k) plan (discussed next) nor to a QACA. State tax forms need fill Also, the ACP test does not apply to these plans if certain additional requirements are met. State tax forms need fill   The tax for the year is 10% of the excess contributions for the plan year ending in your tax year. State tax forms need fill Excess contributions are elective deferrals, employee contributions, or employer matching or nonelective contributions that are more than the amount permitted under the ADP test or the ACP test. State tax forms need fill   See Regulations sections 1. State tax forms need fill 401(k)-2 and 1. State tax forms need fill 401(m)-2 for further guidance relating to the nondiscrimination rules under sections 401(k) and 401(m). State tax forms need fill    If the plan fails the ADP or ACP testing, and the failure is not corrected by the end of the next plan year, the plan can be disqualified. State tax forms need fill Safe harbor 401(k) plan. State tax forms need fill If you meet the requirements for a safe harbor 401(k) plan, you do not have to satisfy the ADP test, nor the ACP test, if certain additional requirements are met. State tax forms need fill For your plan to be a safe harbor plan, you must meet the following conditions. State tax forms need fill Matching or nonelective contributions. State tax forms need fill You must make matching or nonelective contributions according to one of the following formulas. State tax forms need fill Matching contributions. State tax forms need fill You must make matching contributions according to the following rules. State tax forms need fill You must contribute an amount equal to 100% of each non-highly compensated employee's elective deferrals, up to 3% of compensation. State tax forms need fill You must contribute an amount equal to 50% of each non-highly compensated employee's elective deferrals, from 3% up to 5% of compensation. State tax forms need fill The rate of matching contributions for highly compensated employees, including yourself, must not exceed the rates for non-highly compensated employees. State tax forms need fill Nonelective contributions. State tax forms need fill You must make nonelective contributions, without regard to whether the employee made elective deferrals, on behalf of all non-highly compensated employees eligible to participate in the plan, equal to at least 3% of the employee's compensation. State tax forms need fill These mandatory matching and nonelective contributions must be immediately 100% vested and are subject to special withdrawal restrictions. State tax forms need fill Notice requirement. State tax forms need fill You must give eligible employees written notice of their rights and obligations with regard to contributions under the plan, within a reasonable period before the plan year. State tax forms need fill The other requirements for a 401(k) plan, including withdrawal and vesting rules, must also be met for your plan to qualify as a safe harbor 401(k) plan. State tax forms need fill Qualified Roth Contribution Program Under this program an eligible employee can designate all or a portion of his or her elective deferrals as after-tax Roth contributions. State tax forms need fill Elective deferrals designated as Roth contributions must be maintained in a separate Roth account. State tax forms need fill However, unlike other elective deferrals, designated Roth contributions are not excluded from employees' gross income, but qualified distributions from a Roth account are excluded from employees' gross income. State tax forms need fill Elective Deferrals Under a qualified Roth contribution program, the amount of elective deferrals that an employee may designate as a Roth contribution is limited to the maximum amount of elective deferrals excludable from gross income for the year (for 2013 and 2014, $17,500 if under age 50 and $23,000 if age 50 or over) less the total amount of the employee's elective deferrals not designated as Roth contributions. State tax forms need fill Designated Roth deferrals are treated the same as pre-tax elective deferrals for most purposes, including: The annual individual elective deferral limit (total of all designated Roth contributions and traditional, pre-tax elective deferrals) of $17,500 for 2013 and 2014, with an additional $5,500 if age 50 or over for 2013 and 2014, Determining the maximum employee and employer annual contributions of the lesser of 100% of compensation or $51,000 for 2013 ($52,000 for 2014), Nondiscrimination testing, Required distributions, and Elective deferrals not taken into account for purposes of deduction limits. State tax forms need fill Qualified Distributions A qualified distribution is a distribution that is made after the employee's nonexclusion period and: On or after the employee attains age   59½, On account of the employee's being disabled, or On or after the employee's death. State tax forms need fill An employee's nonexclusion period for a plan is the 5-tax-year period beginning with the earlier of the following tax years. State tax forms need fill The first tax year in which the employee made a contribution to his or her Roth account in the plan, or If a rollover contribution was made to the employee's designated Roth account from a designated Roth account previously established for the employee under another plan, then the first tax year the employee made a designated Roth contribution to the previously established account. State tax forms need fill Rollover. State tax forms need fill   Beginning September 28, 2010, a rollover from another account can be made to a designated Roth account in the same plan. State tax forms need fill For additional information on these in-plan Roth rollovers, see Notice 2010-84, 2010-51 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 872, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2010-51_IRB/ar11. State tax forms need fill html, and Notice 2013-74. State tax forms need fill A distribution from a designated Roth account can only be rolled over to another designated Roth account or a Roth IRA. State tax forms need fill Rollover amounts do not apply toward the annual deferral limit. State tax forms need fill Reporting Requirements You must report a contribution to a Roth account on Form W-2 and a distribution from a Roth account on Form 1099-R. State tax forms need fill See the Form W-2 and 1099-R instructions for detailed information. State tax forms need fill Distributions Amounts paid to plan participants from a qualified plan are called distributions. State tax forms need fill Distributions may be nonperiodic, such as lump-sum distributions, or periodic, such as annuity payments. State tax forms need fill Also, certain loans may be treated as distributions. State tax forms need fill See Loans Treated as Distributions in Publication 575. State tax forms need fill Required Distributions A qualified plan must provide that each participant will either: Receive his or her entire interest (benefits) in the plan by the required beginning date (defined later), or Begin receiving regular periodic distributions by the required beginning date in annual amounts calculated to distribute the participant's entire interest (benefits) over his or her life expectancy or over the joint life expectancy of the participant and the designated beneficiary (or over a shorter period). State tax forms need fill These distribution rules apply individually to each qualified plan. State tax forms need fill You cannot satisfy the requirement for one plan by taking a distribution from another. State tax forms need fill The plan must provide that these rules override any inconsistent distribution options previously offered. State tax forms need fill Minimum distribution. State tax forms need fill   If the account balance of a qualified plan participant is to be distributed (other than as an annuity), the plan administrator must figure the minimum amount required to be distributed each distribution calendar year. State tax forms need fill This minimum is figured by dividing the account balance by the applicable life expectancy. State tax forms need fill The plan administrator can use the life expectancy tables in Appendix C of Publication 590 for this purpose. State tax forms need fill For more information on figuring the minimum distribution, see Tax on Excess Accumulation in Publication 575. State tax forms need fill Required beginning date. State tax forms need fill   Generally, each participant must receive his or her entire benefits in the plan or begin to receive periodic distributions of benefits from the plan by the required beginning date. State tax forms need fill   A participant must begin to receive distributions from his or her qualified retirement plan by April 1 of the first year after the later of the following years. State tax forms need fill Calendar year in which he or she reaches age 70½. State tax forms need fill Calendar year in which he or she retires from employment with the employer maintaining the plan. State tax forms need fill However, the plan may require the participant to begin receiving distributions by April 1 of the year after the participant reaches age 70½ even if the participant has not retired. State tax forms need fill   If the participant is a 5% owner of the employer maintaining the plan, the participant must begin receiving distributions by April 1 of the first year after the calendar year in which the participant reached age 70½. State tax forms need fill For more information, see Tax on Excess Accumulation in Publication 575. State tax forms need fill Distributions after the starting year. State tax forms need fill   The distribution required to be made by April 1 is treated as a distribution for the starting year. State tax forms need fill (The starting year is the year in which the participant meets (1) or (2) above, whichever applies. State tax forms need fill ) After the starting year, the participant must receive the required distribution for each year by December 31 of that year. State tax forms need fill If no distribution is made in the starting year, required distributions for 2 years must be made in the next year (one by April 1 and one by December 31). State tax forms need fill Distributions after participant's death. State tax forms need fill   See Publication 575 for the special rules covering distributions made after the death of a participant. State tax forms need fill Distributions From 401(k) Plans Generally, distributions cannot be made until one of the following occurs. State tax forms need fill The employee retires, dies, becomes disabled, or otherwise severs employment. State tax forms need fill The plan ends and no other defined contribution plan is established or continued. State tax forms need fill In the case of a 401(k) plan that is part of a profit-sharing plan, the employee reaches age 59½ or suffers financial hardship. State tax forms need fill For the rules on hardship distributions, including the limits on them, see Regulations section 1. State tax forms need fill 401(k)-1(d). State tax forms need fill The employee becomes eligible for a qualified reservist distribution (defined next). State tax forms need fill Certain distributions listed above may be subject to the tax on early distributions discussed later. State tax forms need fill Qualified reservist distributions. State tax forms need fill   A qualified reservist distribution is a distribution from an IRA or an elective deferral account made after September 11, 2001, to a military reservist or a member of the National Guard who has been called to active duty for at least 180 days or for an indefinite period. State tax forms need fill All or part of a qualified reservist distribution can be recontributed to an IRA. State tax forms need fill The additional 10% tax on early distributions does not apply to a qualified reservist distribution. State tax forms need fill Tax Treatment of Distributions Distributions from a qualified plan minus a prorated part of any cost basis are subject to income tax in the year they are distributed. State tax forms need fill Since most recipients have no cost basis, a distribution is generally fully taxable. State tax forms need fill An exception is a distribution that is properly rolled over as discussed under Rollover, next. State tax forms need fill The tax treatment of distributions depends on whether they are made periodically over several years or life (periodic distributions) or are nonperiodic distributions. State tax forms need fill See Taxation of Periodic Payments and Taxation of Nonperiodic Payments in Publication 575 for a detailed description of how distributions are taxed, including the 10-year tax option or capital gain treatment of a lump-sum distribution. State tax forms need fill Note. State tax forms need fill A recipient of a distribution from a designated Roth account will have a cost basis since designated Roth contributions are made on an after-tax basis. State tax forms need fill Also, a distribution from a designated Roth account is entirely tax-free if certain conditions are met. State tax forms need fill See Qualified distributions under Qualified Roth Contribution Program, earlier. State tax forms need fill Rollover. State tax forms need fill   The recipient of an eligible rollover distribution from a qualified plan can defer the tax on it by rolling it over into a traditional IRA or another eligible retirement plan. State tax forms need fill However, it may be subject to withholding as discussed under Withholding requirement, later. State tax forms need fill A rollover can also be made to a Roth IRA, in which case, any previously untaxed amounts are includible in gross income unless the rollover is from a designated Roth account. State tax forms need fill Eligible rollover distribution. State tax forms need fill   This is a distribution of all or any part of an employee's balance in a qualified retirement plan that is not any of the following. State tax forms need fill A required minimum distribution. State tax forms need fill See Required Distributions , earlier. State tax forms need fill Any of a series of substantially equal payments made at least once a year over any of the following periods. State tax forms need fill The employee's life or life expectancy. State tax forms need fill The joint lives or life expectancies of the employee and beneficiary. State tax forms need fill A period of 10 years or longer. State tax forms need fill A hardship distribution. State tax forms need fill The portion of a distribution that represents the return of an employee's nondeductible contributions to the plan. State tax forms need fill See Employee Contributions , earlier, and Rollover of nontaxable amounts, next. State tax forms need fill Loans treated as distributions. State tax forms need fill Dividends on employer securities. State tax forms need fill The cost of any life insurance coverage provided under a qualified retirement plan. State tax forms need fill Similar items designated by the IRS in published guidance. State tax forms need fill See, for example, the Instructions for Forms 1099-R and 5498. State tax forms need fill Rollover of nontaxable amounts. State tax forms need fill   You may be able to roll over the nontaxable part of a distribution to another qualified retirement plan or a section 403(b) plan, or to an IRA. State tax forms need fill If the rollover is to a qualified retirement plan or a section 403(b) plan that separately accounts for the taxable and nontaxable parts of the rollover, the transfer must be made through a direct (trustee-to-trustee) rollover. State tax forms need fill If the rollover is to an IRA, the transfer can be made by any rollover method. State tax forms need fill Note. State tax forms need fill A distribution from a designated Roth account can be rolled over to another designated Roth account or to a Roth IRA. State tax forms need fill If the rollover is to a Roth IRA, it can be rolled over by any rollover method, but if the rollover is to another designated Roth account, it must be rolled over directly (trustee-to-trustee). State tax forms need fill More information. State tax forms need fill   For more information about rollovers, see Rollovers in Pubs. State tax forms need fill 575 and 590. State tax forms need fill Withholding requirement. State tax forms need fill   If, during a year, a qualified plan pays to a participant one or more eligible rollover distributions (defined earlier) that are reasonably expected to total $200 or more, the payor must withhold 20% of the taxable portion of each distribution for federal income tax. State tax forms need fill Exceptions. State tax forms need fill   If, instead of having the distribution paid to him or her, the participant chooses to have the plan pay it directly to an IRA or another eligible retirement plan (a direct rollover), no withholding is required. State tax forms need fill   If the distribution is not an eligible rollover distribution, defined earlier, the 20% withholding requirement does not apply. State tax forms need fill Other withholding rules apply to distributions that are not eligible rollover distributions, such as long-term periodic distributions and required distributions (periodic or nonperiodic). State tax forms need fill However, the participant can choose not to have tax withheld from these distributions. State tax forms need fill If the participant does not make this choice, the following withholding rules apply. State tax forms need fill For periodic distributions, withholding is based on their treatment as wages. State tax forms need fill For nonperiodic distributions, 10% of the taxable part is withheld. State tax forms need fill Estimated tax payments. State tax forms need fill   If no income tax is withheld or not enough tax is withheld, the recipient of a distribution may have to make estimated tax payments. State tax forms need fill For more information, see Withholding Tax and Estimated Tax in Publication 575. State tax forms need fill Section 402(f) Notice. State tax forms need fill   If a distribution is an eligible rollover distribution, as defined earlier, you must provide a written notice to the recipient that explains the following rules regarding such distributions. State tax forms need fill That the distribution may be directly transferred to an eligible retirement plan and information about which distributions are eligible for this direct transfer. State tax forms need fill That tax will be withheld from the distribution if it is not directly transferred to an eligible retirement plan. State tax forms need fill That the distribution will not be subject to tax if transferred to an eligible retirement plan within 60 days after the date the recipient receives the distribution. State tax forms need fill Certain other rules that may be applicable. State tax forms need fill   Notice 2009-68, 2009-39 I. State tax forms need fill R. State tax forms need fill B. State tax forms need fill 423, available at www. State tax forms need fill irs. State tax forms need fill gov/irb/2009-39_IRB/ar14. State tax forms need fill html, contains two updated safe harbor section 402(f) notices that plan administrators may provide recipients of eligible rollover distributions. State tax forms need fill If the plan allows in-plan Roth rollovers, the 402(f) notice must be amended to reflect this. State tax forms need fill Notice 2010-84 contains guidance on how to modify a 402(f) notice for in-plan Roth rollovers. State tax forms need fill Timing of notice. State tax forms need fill   The notice generally must be provided no less than 30 days and no more than 180 days before the date of a distribution. State tax forms need fill Method of notice. State tax forms need fill   The written notice must be provided individually to each distributee of an eligible rollover distribution. State tax forms need fill Posting of the notice is not sufficient. State tax forms need fill However, the written requirement may be satisfied through the use of electronic media if certain additional conditions are met. State tax forms need fill See Regulations section 1. State tax forms need fill 401(a)-21. State tax forms need fill Tax on failure to give notice. State tax forms need fill   Failure to give a 402(f) notice will result in a tax of $100 for each failure, with a total not exceeding $50,000 per calendar year. State tax forms need fill The tax will not be imposed if it is shown that such failure is due to reasonable cause and not to willful neglect. State tax forms need fill Tax on Early Distributions If a distribution is made to an employee under the plan before he or she reaches age 59½, the employee may have to pay a 10% additional tax on the distribution. State tax forms need fill This tax applies to the amount received that the employee must include in income. State tax forms need fill Exceptions. State tax forms need fill   The 10% tax will not apply if distributions before age 59½ are made in any of the following circumstances. State tax forms need fill Made to a beneficiary (or to the estate of the employee) on or after the death of the employee. State tax forms need fill Made due to the employee having a qualifying disability. State tax forms need fill Made as part of a series of substantially equal periodic payments beginning after separation from service and made at least annually for the life or life expectancy of the employee or the joint lives or life expectancies of the employee and his or her designated beneficiary. State tax forms need fill (The payments under this exception, except in the case of death or disability, must continue for at least 5 years or until the employee reaches age 59½, whichever is the longer period. State tax forms need fill ) Made to an employee after separation from service if the separation occurred during o