Retirement
“I want to maximize my corporate profit-sharing plan contributions, do I need to artificially inflate my own W-2 wages to achieve the highest possible legal allocation?”
Corporate profit-sharing allocations often depend on several moving parts, including plan design, compensation definitions, and how payroll is reported on the W-2. In many cases, the distinction between owner compensation and employee compensation can matter, along with whether the plan uses a safe harbor formula, cross-testing, or other allocation features. The timing of contributions, the business structure, and any related-party or controlled-group rules can also affect what is permitted. Because the legal answer varies by plan document and facts, the practical focus is usually on how the compensation base is defined and documented. Walking the details through with a CPA is the fastest way to know what truly applies here.
In your 60-minute session, the KGOB advisor handling it will:
- Read your exact situation and tell you, in plain English, what’s actually going on.
- Lay out your options and the trade-offs — no jargon, no judgment.
- Give you a clear next step you can act on, whether that’s with us or on your own.
This page is a prompt to start a conversation, not tax or legal advice, and states no tax-law specifics as fact. A consult session does not by itself create an ongoing engagement. We do not promise specific outcomes or savings. Kohari Gonzalez Oneyear & Brown PLLC — Charlotte, NC.
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