How to calculate 25% solo 401k match

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ssgbloghead
Posts: 53
Joined: Thu Jan 09, 2014 10:00 pm

How to calculate 25% solo 401k match

Post by ssgbloghead »

Employee owned s corp with health insurance plan
S corp contributes 25% of wages

Salary 30,000
Health insurance premium reimbursed 10,000 (You pay Income tax on this but do not pay FICA)

W2 box1 Wages = 40,000
W2 box 3 FICA wages = 30,000
W2 box 14 = 10,000

Is the 25% company contribution calculated on 30k or 40k?
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