Ah ok, I'd overlooked that this was for an S corp; I was referring to the rule for a sole prop.
Be careful on this calculation, I believe each dollar you contribute as employer reduces the profit of the business so it actually comes out to be effectively 20% (10k of the 50k) instead of 25%
Are you sure ? I thought business profit isn’t even a factor. Isn’t it 25% of my w2 income? For an S Corp
Statistics: Posted by loxbagels456 — Mon Jan 20, 2025 6:09 pm