Originally Posted by
Grumble
See Winstons post above, but there were no less than half a dozen emails explaining the tax ramifications of last years PS check and contribution it to the PRAP.
Yes, I see that, and I also went back and looked at the MEC update from 12/16/16 and read the same. My point being, regardless of FICA tax, I believe only the portion of profit sharing that's below 18,000 / 24,000 has the ability to be shielded from FEDERAL INCOME tax. I already add $1000 / month to my 401k, so I "believe" that, in my circumstance, only $12,000 of the profit sharing can be treated exempt from FEDERAL income tax. Is this how you understand the tax ramifications?