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Asked 2/7/2010
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Can I deduct the amount that I had contributed to my employers 401k plan? I have two jobs with 401k plans. Can I deduct the amount of money that I have contributed during 2009 to my employers 401k plans? |
Answer 1/1 - Submitted 2/7/2010
No, you cannot deduct 401(k) contributions. These are made from "pre-tax" money -- no subject to income tax -- so no deduction is allowed. It's why your taxable wages, shown in box 1 of your W-2, are smaller than your gross wages, shown in box 3.
If your income is low enough, the 401(k) contributions might qualify you for a "savers credit."
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