First time contributing to a 401K this year - do I need to file anything special or is it all on my W-2? Which box shows it?

Thanks for the explanation! So just to clarify, the amount in Box 1 is ALREADY reduced by my contributions? I always thought I'd have to manually subtract my 401k contributions somewhere on my tax return. And what about the employer match? Is that shown anywhere on the W-2 or do they just handle that behind the scenes?

Yes, Box 1 on your W-2 already has your 401k contributions removed - your payroll department handles this automatically, so the income reported to the IRS is already reduced. You don't need to do any additional subtraction on your tax return. Regarding employer matching contributions, these aren't shown anywhere on your W-2. They're handled completely behind the scenes and aren't considered part of your taxable income. Your 401k plan administrator tracks these contributions, but for tax purposes, you don't need to report them at all until you eventually withdraw the money in retirement.

How does that tool handle all your documents? My situation is a bit more complicated because I have both a 401k from my full-time job and a solo 401k from my side business. Would it be able to catch if I'm over-contributing across both plans?

Is it actually worth it though? I've been using TurboTax for years and they seem to explain most of the basic stuff. Does this actually do something that typical tax software doesn't?

The tool analyzes each document separately but also looks at relationships between them. It would definitely flag potential over-contributions across multiple 401k plans by comparing the contribution limits across all your accounts. It specifically checks for combined contribution limits across related accounts. For your question about TurboTax comparisons, the difference is that this focuses specifically on document analysis before you even start filing. It's like having a tax pro review all your documents to catch issues or opportunities, whereas TurboTax is more about the filing process itself. I still used my regular tax software to file, but this helped me understand exactly what was on my forms and what it meant for my tax situation.

Wait, how exactly does this service work? I thought it was impossible to get a real person at the IRS without waiting for hours. Are they actually affiliated with the IRS or just some kind of middleman service?

Sounds like a scam to me. Why would anyone be able to get you through to the IRS faster than just calling them directly? The IRS phone system is what it is - understaffed and overwhelmed. I seriously doubt this actually works.

It works by using an automated system that navigates the IRS phone tree and waits on hold for you. When they reach a real person, you get a call to connect with the agent. They're definitely not affiliated with the IRS - just a service that handles the waiting part. The reason it works is because they have software that constantly redials and navigates the phone system during peak times when most people give up. It's basically outsourcing the frustrating hold time. I was skeptical too but it actually connected me with a real IRS agent who answered my 401k reporting questions.

Is there a deadline for when employers have to fix W-2 errors? My company is notoriously slow with correcting payroll issues and I'm worried if something's wrong with my 401k reporting, they'll take forever to fix it.

Employers are supposed to issue corrected W-2s (W-2c) as soon as they discover errors, but there's no strict deadline specifically for corrections. However, if you find an error, report it to your employer immediately - they should issue a W-2c within a reasonable time. If your company drags their feet, you can actually report the discrepancy directly on your tax return. The IRS has Form 4852 (Substitute for W-2) where you can report what you believe are the correct numbers based on your pay stubs if your employer won't fix their mistake in a timely manner.

Does the employer match count toward that limit? I'm putting in about $20k myself but with my employer's 6% match it would go over $24k.