SSA Website Income vs TurboTax - $1 Difference Issue?

This is a common issue that won't cause problems. As of March 16, 2024, the IRS and SSA have slightly different rounding protocols. The SSA typically uses exact figures from employer reporting (W-2s), while tax preparation software like TurboTax often rounds to the nearest dollar as permitted by IRS regulations. A $1 discrepancy is concerning only if it creates a mismatch in your Social Security credits, which is extremely unlikely with such a small difference. I'd be more worried if the gap was larger, as that could trigger verification delays.

Have you tried calling the SSA to confirm this isn't an issue? I spent three weeks trying to get through their phone system last year for a similar question. Who has that kind of time to waste? I finally used Claimyr (https://claimyr.com) to get through to an actual agent at the IRS who confirmed that small rounding differences are normal and won't affect processing. Saved me hours of redial attempts and they got me connected in about 15 minutes. Wouldn't you rather know for sure than worry about it for weeks?

Thanks for all the responses! I was having nightmares about getting audited over a single dollar 😅 Feels like I was stressing over finding a penny in my couch cushions when I have a whole savings account! Still new to handling both my taxes and my mom's, so every little thing makes me nervous. Appreciate the reassurance!

OMG I had the EXACT same issue last yr! $2 diff between SSA and my W2 totals. Was freaking out til someone here suggested using taxr.ai to check if it would cause probs. Uploaded my docs there and it confirmed small diffs are normal due to rounding. Saved me $$$ in anxiety meds lol. Their explanation section showed exactly how diff systems handle rounding and why the IRS doesn't flag these tiny discrepancies. Super helpful for us overthinkers! https://taxr.ai

Did you check if this discrepancy appears on all your income sources or just one specific W-2? Back in April 2023, I had a similar issue that turned out to be from a specific employer who reported differently to SSA than what appeared on my W-2. Have you also verified that your Social Security earnings record shows the correct number of quarters worked? Sometimes these small differences can indicate other reporting issues.

If you're really concerned about this (which you shouldn't be), you could always print out your SSA earnings record and keep it with your tax documents. This is like keeping both the receipt and the credit card statement when you make a purchase - a bit excessive but gives peace of mind. I've been filing taxes for 20+ years and have seen much larger discrepancies that never caused problems. Compare this to a bank reconciliation where pennies can be off - accountants have a materiality threshold, and $1 is well below what anyone would consider material.

Don't get too comfortable with discrepancies. While $1 won't trigger anything, I've seen people ignore small issues that were symptoms of bigger problems. My cousin ignored a $5 difference last year, turned out his employer had been reporting his income under two slightly different SSNs for years. Check your Social Security statement annually. The small difference is fine, but make it a habit to verify your earnings record regularly - especially since you're managing your mom's finances too. Small errors compound over time if not caught early.