Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

Can a business owner make contributions in addition to their salary deferrals for themselves?

April 26, 2017addition Business contributions deferrals owner salary

0

10 Posted

Can a business owner make contributions in addition to their salary deferrals for themselves?

1 Answer

0

10 Posted

A business owner can make employer profit sharing contributions in addition to their salary deferrals. There is an overall combined limit of $49,000 (in 2010) for salary deferral and profit sharing contributions. If they are eligible to make catch-up contributions, the $46,000 limit is increased by the amount of catch-up contributions.