The simple ira max annual contribution for employees over 50 should be $19K instead of $15.5K. How do I get Intuit to fix this? This is common knowledge.

allendhoekod · ‎May 30, 2023

I have a SIMPLE IRA plan for my office. The max annual contribution box for my over 50 year old employee says $15.5K when it should say $19K. This is common knowledge and such info is contained within a table on your own site in the support article "Understand retirement plan contribution limits". I've called twice to get this fixed. What is it going to take to get this fixed? This should be very simple. I need it fixed for this employee so she can contribute the full $19K to her SIMPLE IRA.

ChristineJoieR · ‎May 30, 2023

I understand your point about the maximum contribution for retirement plans, @allendhoekod. I'll show you the option to choose the exact plan type for your employee in QuickBooks Online Payroll.

Yes, I agree with you that employees' annual retirement plan limit of more than 50 years old should have a maximum contribution of about 19k. Thus, I'll walk you through where to find it in QuickBooks Online Payroll.

Let's get started here:

Go to the Payroll tab.
Choose the Employee section and locate or add the employee you want to modify.
Next, add or edit contributions from the Deduction & Contribution.
From the Deduction & Contribution Type tab, choose a retirement plan.
This time, choose the Simple IRA catch-up from the drop-down, and you'll notice the Annual maximum limits that appear as 19,000.
Lastly, choose other required details from the drop-down and then Save.

I'm also adding this screenshot below for your reference:

Furthermore, you can check this article for more information about retirement plan limits: Understand retirement plan contribution limits

I'm entrenching for your success in getting this resolved, @allendhoekod. Please don't hesitate to mention me in the comment section below. I'll make sure to get back to you as soon as possible. We thank you for dealing with QuickBooks. Have a good day, and be safe!

View solution in original post

ChristineJoieR · ‎May 30, 2023

I understand your point about the maximum contribution for retirement plans, @allendhoekod. I'll show you the option to choose the exact plan type for your employee in QuickBooks Online Payroll.

Yes, I agree with you that employees' annual retirement plan limit of more than 50 years old should have a maximum contribution of about 19k. Thus, I'll walk you through where to find it in QuickBooks Online Payroll.

Let's get started here:

Go to the Payroll tab.
Choose the Employee section and locate or add the employee you want to modify.
Next, add or edit contributions from the Deduction & Contribution.
From the Deduction & Contribution Type tab, choose a retirement plan.
This time, choose the Simple IRA catch-up from the drop-down, and you'll notice the Annual maximum limits that appear as 19,000.
Lastly, choose other required details from the drop-down and then Save.

I'm also adding this screenshot below for your reference:

Furthermore, you can check this article for more information about retirement plan limits: Understand retirement plan contribution limits

I'm entrenching for your success in getting this resolved, @allendhoekod. Please don't hesitate to mention me in the comment section below. I'll make sure to get back to you as soon as possible. We thank you for dealing with QuickBooks. Have a good day, and be safe!

allendhoekod · ‎May 31, 2023

Thank you so much. I can't believe I simply didn't scroll down far enough to see it. Should have started here instead all the time I spent on the phone with a couple of different, very polite support staff who couldn't figure it out. Thanks again. You are the greatest.

QueenC · ‎May 31, 2023

You're most welcome, @allendhoekod!

I appreciate your taking the time to let us know that the solution given by my colleague was able to help you. Truly, we can fathom any circumstance if we will work as a team. It's always our pleasure to help you with all your QuickBooks-related tasks and make sure you'll get assistance whenever you need it.

As always, the Community is brimming with professionals who are knowledgeable in every aspect of QuickBooks, so if you need anything, don't hesitate to contact us here. We're always happy to help you along your road to victory. Wishing you and your business continued success!

SusiePSTL · ‎October 31, 2023

I have just found this thread as I have the same issue. What I don't see specifically addressed is 1. that the SIMPLE IRA ($15,500 contribution) has to be deleted before you can add the SIMPLE IRA Catch Up ($19,000 contribution), is that correct? 2. And there will be no disruption to what has been contributed by company or employee to this point in the year? 3. When the $19,000 is reached, if it is before the end of the year, Quickbooks will then cut off any further contributions, is that correct? No manual edit needs to be made in the employee "file" within QB? Thank you.

Nicole_N · ‎October 31, 2023

I appreciate you for asking these questions, @SusiePSTL. Allow me to elaborate and clarify how contributions work in QuickBooks Online (QBO).

You're right about deleting the other SIMPLE IRA before adding or changing it to Catch-up since it's not possible to select regular and catchup deductions for one employee. If you do, you'll be prompted by an error message as seen below.

Adding the SIMPLE IRA Catch-Up contribution should not disrupt the contributions made by the company or the employee up to that point in the year. QBO keeps track of contributions separately, so you can accurately monitor and report on the total contributions made.

Moreover, once the $19,000 contribution limit is reached for the year, QuickBooks will not automatically cut off any further contributions. It's important to manually monitor and manage the contributions to ensure they don't exceed the annual limit by editing the employee's file within QuickBooks.

To learn more about retirement plan deduction or a company contribution in QuickBooks Online Payroll, check out these links:

Fill me in if you have further clarifications about payroll deductions. I'd be willing to answer them for you. Have a good one!

tsr24 · ‎November 01, 2023

I am still unable to see or select the 'Catch-up' from the drop-down menu. I deleted the 'Simple IRA' deduction from my account but it still doesn't offer that option when I go to add a new deduction. Is there something in another setup settings that opens up this option?

JaeAnnC · ‎November 01, 2023

Thanks for chiming in on this thread, @tsr24. I'll be happy to guide you in selecting the SIMPLE IRA Catch-up option when setting up a deduction in QuickBooks Online (QBO).

If you're unable to see the SIMPLE IRA Catch-up option, it's possible that a different deduction/contribution type was selected.

Please refer to these steps for the detailed step-by-step guide:

Go to Payroll and select Employees.
Click the employee in question.
Go to the Deductions & Contributions, then click Edit.
Select + Add deduction/contribution.
In the Deduction/contribution dropdown, click Add deduction/contribution.
Choose Retirement plans for the Deduction/contribution type.
In the Type dropdown, select SIMPLE IRA Catch-up.
Fill in the other fields, then click Save.

If the issue persists after following the steps above, it could be a temporary system issue. In some cases, missing options are caused by a corrupted cache accumulated in your browser. Let's clean them up by opening your account in an incognito window. Please refer to these keyboard shortcuts:

For Google Chrome browser: Ctrl + Shift + N
For Mozilla Firefox browser: Ctrl + Shift + P
For Safari browser: Command + Shift + N

Once resolved, go back to your regular browser to clear its cache or switch to a different compatible browser.

Additionally, I'll share this article with a list of payroll reports you can run to obtain helpful insights about employees' wages, taxes, and deductions, which is relevant during tax filing: Run payroll reports in QuickBooks Online Payroll.

Fill me in whenever you have follow-up questions concerning payroll deductions. The Community is more than glad to assist you further. Keep safe and have a good one!

Topics

Training

Community

Resources

The simple ira max annual contribution for employees over 50 should be $19K instead of $15.5K. How do I get Intuit to fix this? This is common knowledge.