Understanding Your 1099-R Form

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What is a 1099-R form?

Similar to the W-2 form you receive as an employee, retirees receive a corresponding tax form to report their income to the IRS—this form is the 1099-R. Just like the W-2, the 1099-R is issued annually, after the close of each year in which retirement income is received. The 1099-R for the previous year is available before the end of January. Each year, ERSGA publishes a web announcement as soon as the date for availability of your 1099-R is confirmed.

Where do I get my 1099-R form?

View, print or download your 1099-R tax forms through your secure online account at any time. Login or register via the following link: https://portal.ers.ga.gov/. Once you are logged in, click the ‘View 1099R’ button. You will see a list of each 1099-R we have issued to you. Click the ‘View 1099R’ button on the right to view, print or download. A hard copy will also be mailed to you by the end of January, if your address on file is valid.

How do I read my 1099-R form?

You can find our guide to understanding your 1099-R below. More information is provided by the IRS.

Guide to understanding your 1099-R

Account Number – Your pension ID number.

Payer’s Name – Your retirement plan’s name and address.

Payer’s Federal identification number – Your retirement plan’s unique nine-digit number assigned by the IRS.

Recipient’s identification number – Your Social Security number.

Recipient’s name and street address – Your name and address.

Box 1 Gross distribution – The total amount we paid you during the tax year.

Box 2a Taxable amount – The taxable portion of Box 1. The portion of your total benefit received during the calendar year that is considered taxable income.

Box 4 Federal income tax withheld – The total amount of federal income tax withheld during the tax year.

Box 5 Contrib. or Insurance – The difference between the amount in Box 1 and Box 2a. Box 5 is for informational purposes only. The amount in Box 5 is calculated using the IRS Simplified Method, which determines how much of your after-tax contributions you can recover each year without paying additional taxes. This recovery is typically spread over 20 to 30 years. Your specific calculation was provided to you at the time of retirement, on your Form R-6.

Box 7 Distribution Code – Code identifying the type of benefit being paid. You can find a complete list of distribution codes on the “Instructions to Recipient” section on the back of your 1099-R form. Common distribution codes include:

  • Code 1: Early distribution, no known exception – This code is used when you take an early distribution (before age 59½) from a retirement plan or IRA, and there is no exception to the penalty for early withdrawal. This means you may be subject to an early withdrawal penalty.
  • Code 2: Early distribution, exception applies – This code is used when you take an early distribution from your retirement plan or IRA, but the distribution qualifies for an exception to the early withdrawal penalty.
  • Code 4: Death – This code applies to distributions made after the death of the account holder, either to the beneficiary or the estate. These distributions are generally not subject to early withdrawal penalties.
  • Code 7: Normal distribution – This code is used for a distribution made from a retirement plan or IRA after the account holder reaches age 59½. These distributions are not subject to the early withdrawal penalty.
  • Code G: Direct rollover – This code indicates that the distribution was directly rolled over from one retirement plan to another (for example, PLOP Rollover), and it is not subject to income tax.

Box 14 State tax withheld – The total amount of Georgia income tax withheld during the calendar year.)

Box 15 State/Payer’s State Number – The two letter abbreviation for Georgia and the state identification number assigned to your retirement plan by the Georgia Department of Revenue.   

Contact your tax advisor with any questions about this information.

This is an example of a 1099-R tax form. For questions about your 1099-R, contact your tax advisor or the IRS at 800-829-1040.