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Self-Employed Individual Solo 401k FAQ – Do I need to report after-tax contributions on my W-2?
I set up a Solo 401k for my self-employed business taxed as an S-corp in order to make Mega Backdoor Roth Solo 401k contributions. Do I need to report voluntary after-tax contributions on my w-2?
RESPONSE:
Great question as one of the top reasons that clients open accounts with us is the ability to make Mega Backdoor Roth Solo 401k contributions.
For a self-employed business taxed as an S-corp, the ability to make contributions is based on the w-2 wages that one receives from the self-employed business.
Per the w-2 instructions, reporting on voluntary after-tax contributions is optional.
Please see a deep dive contribution webinar including contribution limits, reporting rules, deadlines, etc. at the following link: HERE
