W
Will Trice
My wife is self-employed. If she sets up a defined-benefit plan, would
the contributions (sorry if that is the wrong term) to the plan be
exempt from FICA? This would make the plan more attractive than a
solo-401(k) (assuming the costs were reasonable) since 401(k)
contributions are still subject to FICA. Is a 401(k) match subject to
FICA?
For background, my wife's business is organized as an LLC and we file
Schedule C, but we could always reorganize as an S-corp or C-corp if
necessary to take advantage of retirement strategies.
Thanks for you inputs,
-Will
the contributions (sorry if that is the wrong term) to the plan be
exempt from FICA? This would make the plan more attractive than a
solo-401(k) (assuming the costs were reasonable) since 401(k)
contributions are still subject to FICA. Is a 401(k) match subject to
FICA?
For background, my wife's business is organized as an LLC and we file
Schedule C, but we could always reorganize as an S-corp or C-corp if
necessary to take advantage of retirement strategies.
Thanks for you inputs,
-Will