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Level 3
April 28, 2021
Question

SEP Contribution and 401-k

  • April 28, 2021
  • 1 reply
  • 3 views

can an employer make a SEP contribution for employee who maxed out pre-tax 401-K contribution

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1 reply

sjrcpa
Level 15
April 28, 2021

They could make a SEP contribution for all eligible employees.

They may be able to make a profit sharing contribution to the 401(k) Plan, if allowed, for all eligible employees.

You cannot single out one employee and give them extra benefits.

The more I know the more I don’t know.