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Posted

Hi

Question for 401 gurus.

Non-HCE participant deferred $8,000 on 2022 w-2 (1,000 per paycheck) and terminated after 8 paychecks.

Just found out that they deposited another $1,000 without a paycheck i.e. $9,000 was deposited during 2022.

As only $8,000 was on the w-2, how is this corrected?

Earnings are pennies as all invested in cash.

Thanks

Posted
32 minutes ago, Lou S. said:

Someone probably copied the prior payroll without checking the current one.

And then clearly the employer is not balancing the books, because the extra 1000 should stick out like a sore thumb!!

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