JamesG1
Expert Alumni

Retirement tax questions

In many cases contributions are made by both: 

 

  • the employer who matches up to some percentage of employees income (and the income is not taxed in the current year), and 
  • the employee who makes pre-tax contributions (not taxed and the dollar amount of box 1 of your W-2 is less than the amounts in boxes 3 and 5 of your W-2).

See also this IRS FAQ.

 

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