"The IRS recently clarified several key aspects of this rule: [1] Only FICA wages paid by the plan-sponsoring employer (e.g., the participant's common law employer) count toward the $145,000 threshold.... [2] Participants without FICA wages (e.g., partners who have only self-employment income) are not subject to the Roth requirement.... [3] The $145,000 threshold is not prorated for employees who worked only part of the year.... [4] New hires who have no income from the employer sponsoring the plan for the preceding calendar year are not subject to the Roth requirement."  MORE >>