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3401(a) Compensation


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Guest bgrazetti
Posted

Does 3401(a) compensation include deferrals to a Section 125 plan?

Posted

I guess what is more important is what does your document say.

I have two plans (no really, I have 2 plans sitting in front of me at the moment) both are Corbel documents.

both define compensation as 3401(a) compensation.

then both go on to say, for purposes of this section, the determination of compensation shall be made by:

and one says

excluding amounts...and not included in gross income of the Participant under section 125...

and the other says

including amounts ...and not includable in gorss income of the Participant under section 125....

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