|
The Motley Fool Discussion Boards
|
Previous Page | |
|
Financial Planning / Tax Strategies |
||
|
URL:
http://boards.fool.com/helter-asks-ive-got-my-own-s-corp-i-found-13929453.aspx
|
||
| Subject: Re: SEP LIMIT for Year 2000 | Date: 12/18/2000 8:15 PM | |
| Author: ptsurmr | Number: 43058 of 118719 | |
|
helter asks: I've got my own S-Corp - I found somewhere on the net that the contribution limit for SEP's is 25,500 = 15% of 170,000. Can you guys verify this? I can verify it. However don't take my word for it. Get Form 5305-SEP(Rev. 1-2000) from www.irs.gov. In this newly revised version you will have official verification. I quote from this form: Contribution limits. The SEP rules permit you to make an annual contribution of up to 15% of the employee's compensation or $30,000*, whichever is less. Compensation, for this purpose, does not include employer contributions to the SEP or the employee's compensation in excess of $170,000*. If you also maintain a Model Elective SEP or any other SEP that permits employees to make elective deferrals, contributions to the two SEPs together may not exceed the smaller of $30,000* or 15% of compensation for any employee. * This amount reflects the cost-of-living increase effective January 1, 2000. The amount is adjusted annually. The IRS announces the increase, if any, in a news release, in the Internal Revenue Bulletin, and on the IRS's Internet Web Site at www.irs.gov. Cat. No. 11825J Form 5305-SEP (Rev. 1-2000) PtSurMr |
||
| Copyright 1996-2013 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us | ||