The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies


Subject:  Re: TSP/401K Lump Sum Question Date:  2/11/2006  10:28 AM
Author:  rosewine Number:  83816 of 128041

(I don't remember the procedure when a single employer overwithholds FICA).

If a single employer overwithholds FICA, that employer must make the correction. It doesn't happen on the employees tax return. However, if the max that can go into the 401K is $15,000 that's a long way from the $90,000 or so max on Social Security.

Also, if I'm not mistaken, FICA is owed on the money that is going into the 401K.

Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us