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  • Solo 401k Contributions Scenario (S-corporation)

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  • George Blower

    Top SubjectPrivate: My Community Webinars,Mega Backdoor Roth Solo 401k
    Top ForumsPrivate: My Community Webinars, Mega Backdoor Roth Solo 401k

    George Blower

    George Blower

    Top SubjectPrivate: My Community Webinars,Mega Backdoor Roth Solo 401k

    July 28, 2021 at 7:00 pm

    QUESTION:

    Can an S corp with one shareholder with a W-2 of $80,000 contribute $19,500 to a solo 401K, $19,500 to a Solo Roth 401K and contribute $20,000 for a profit sharing plan?

    RESPONSE:

    In short – no.

    The employee contribution may be made as either pre-tax or Roth (or a combination of the two) but the total employee contribution may not exceed $19,500 (assuming that no contributions are made to another plan such as a “day job” 401k).

    This confirms that a $20,000 profit-sharing contribution may be made in the scenario presented.

    For more information, please see: S-corporation Solo 401k Contributions Guide

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