Pickup contributions of a State retirement or Pension member must be added back to income. These contributions are tax deferred for Federal purposes, but not for State tax purposes. The amount will be stated separately in box 14 of the W-2 form. The program will automatically complete this addition for you when the appropriate box 14 information is entered on the W-2.
To enter the state pickup amount, from the main menu of the 1040 select;
- Income
- Wages, Salaries, Tips, (W-2)
- Create New or Edit
- Enter Federal and State income and withholding
- Select Box 14
If the state information has already been added to box 15, you will be prompted to enter MD State Pick-up Amounts.
Additional Information:
Maryland State Tax Information