Message Font: Serif | Sans-Serif
No. of Recommendations: 0
Hopefully someone will have a quick answer for me on this, as I can't determine it from the instructions.

I am the sole employee, shareholder and officer of my little S-Corp, and have been paying myself a salary and have been putting a portion of that salary into my 401(k).

On line 7 (Compensation of Officers) of the 1120s it asks me to enter compensation to the officers and to exclude "salaries and wages reported elsewhere on the return such as ... elective contributions to section 401(k)..."

So, one might assume that you would enter the amount I deferred would be entered on line (Pension, Profit Sharing, etc Plans), but the instructions there state that I should enter the "deductible contributions not claimed elsewhere on the return made by the corporation for its employees..."

So, should I put my total salary in line 7, or should I put my salary minus 401(k) contributions in line 7, then enter the amount deferred to my 401k in line 17.

Third option being who cares, the number work out either way.
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.