Discussion:Partner with 401k contributions but no salary

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Discussion Forum Index --> Tax Questions --> Partner with 401k contributions but no salary

Bobw12 (talk|edits) said:

23 May 2007
I'm working on a partner in a partnership who did not draw any salary, his net income is showing on the K-1. However he did make 401k contributions. Since there was no salary does this mean the 401k deduction that would normally appear on the W-2 is lost?

Blrgcpa (talk|edits) said:

23 May 2007
A partner in a partnership doesn't get a salary or W-2. They are taxed on the the income of the partnership on the K-1.

San Diego (talk|edits) said:

23 May 2007

Bobw12 (talk|edits) said:

23 May 2007
I see, the SEP may have been the better way to go. Well in this particular case a 401k was established. Does this equate to a lost deduction?

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