You have the calculations a bit off ... it is NET SE but you also have to deduct the 1/2 SE tax deduction ...
Tax treatment of excess contributions. Excess contributions are your contributions to an
employee's SEP-IRA (or to your own SEP-IRA) for 2019 that exceed the lesser of the following
amounts.
• 25% of the employee's compensation (or, for you, 20% of your net earnings from self-employment).
• $56,000.
SO using your numbers :
44K - 10K = 34K x .153 = 5202 / 2 = 2601
34K - 2601 = 31399 x 20% = 6280
8500 - 6280 = 2220 the missing amount
LOOK at the worksheet in the TT PDF file to see the exact calculation.
