partnership self-employment income

[Guest Diane DuFresne]

Have a 401(k) plan sponsored by partnership. We have calculated self-employment income based on the K-1's from the partnership. One partner is now providing us with additional partner expenses that he claims on his 1040. It is customary to consider these "outside the partnership" expenses in the calculation of self-employment income for the purposes of the ER contributions to the plan? If so, how to others who compute ER contributions gather this information? Thanks for your input.

[K2retire]

He he adopted the plan as a participating employer for his self-employed business that is not part of the partnership?

[Bird]

My (ancient) notes on self-employment income indicate that unreimbursed partnership expenses paid and claimed by a partner should be subtracted.

As far as gathering it, it's one of those things where you learn from experience if your client might have it and if you need to follow up and beg for it. You can put it in writing and ask for it all you want, but that's only for your own protection because most partners can't be bothered to provide such details unless you hound them.