Line 16: Pensions and Annuities
- Gather all your 1099-R statements from each bank, mutual fund, or retirement plan for the year.
- 1099-R statements report distributions from various retirement plans.
- Separate 1099-R statements into two piles: those received from your IRA, and those received from your pension or annuity plans.
- Report your IRA distributions on line 15. Report your pension and annuity distributions on line 16.
- Using the Simplified Method Worksheet on page 23 of the Instructions for Form 1040 (PDF), calculate your nontaxable (line 16a) and taxable (line 16b) amounts.
