Jerry0000
New Member

Retirement tax questions

So even if your total W-2 salary is $20K, you can still take a maximum elective deferral of $18K? And on top of that the company can contribute an additional 25% of my W-2. IS that correct? Note, This is assuming a total net profit of $40K for the year ($20K in W2 earnings and $20K retained by the company).