What is the gross salary to be use for pension purposes?

[Jakyasar]

Having a discussion with a CPA and not sure I understand what needs to be used. No 401k deferral. No exclusions listed in the document.

This is for 2021 and for an LLC filing as an S-Corp

W2 Box 1   $92,000

W2 Boxes 3 and 5 $75,000 - SS and Medicare wages

Earnings summary states

Gross Pay $75,000

Plus S-Corp 2% Medical premium $17,000

Reported W-2 wages for Box 1 $92,000

Reported W-2 wages for Boxes 2 and 3 $75,000

What is the compensation to be used for pension purposes?

Thank you

[RatherBeGolfing]

$92,000, the 2% shareholder medical insurance is comp for plan purposes. 

That's the short answer.  We have gone over the long answer a few times on here before, but it's been a while.

[Jakyasar]

Follow up scenario on this

Box 1 $135,000 (box 5 less deferral plus health insurance)

Box 5 $140,000

Deferral $20,000

Health Insurance $15,000

What is the gross salary for pension purposes, $155,000 or $140,000?

Thank you

[Bri]

It's 155.  You either add the 135 from box 1 plus the 401(k), or you take the 140 from box 5 and add the Sub-S health.

(disclaimer about there may be other deferrals like 125 plan stuff)