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Hi Fishes, I need your suggestions in selecting the best offer. YoE 8.3 years. Sap fico consultant. Native place - Kolkata
1. Accenture Pune - 24.5 CTC with 19 fixed + 1.5 lpa joining bonus
2. Danone Mumbai - 23.15 CTC with 22.11 fixed + 1 lpa joining bonus
3. Kohler Pune - 22.37 CTC with 20.06 fixed
4. PWC india kolkata - 17 fixed + Bonus + 75k joining bonus.
I want good work especially s4 hana implementation projects.Which one would be suitable for me in terms of learning and hikes/promotions?
Enthusiast
Any update on Bonus & Hike?
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My employer asks us to fill out what percent we want to go to the 401k. So in this case I would just type 100%. The only reason this wouldn't work is if I had already contributed the $19500 max.
My old employer did not have this feature so I guess it depends
Generally no unless it's company wide. Would violate non-discrimination rules on 401k
Make them? No. But if the plan counts the bonus as compensation, you could change your deferral election to 100% for that pay period, assuming you don't hit the limits.
My employer let’s me allocate a certain percentage to my 401k just like with regular pay. Are you capped below 100%?
Enthusiast
Yes
It depends on your plan. Also, you might lose out on company match that way if there isn’t a true-up.
When you say avoid taxes, what exactly do you mean?
Salary and bonus income gets taxed the same (tax withholding might be different though), so whether you max out with a single bonus or spread it out evenly over the year doesn’t change how you get taxed on that income come tax time.
The tax your company is required to withhold on supplemental income, such as bonuses, may be higher than the withholding you see on your salary. That said, on your tax return, bonus and salary gets taxed at the same rate because it is the same type of income from an income tax perspective.
There are 2 certainties in life...
If you’re already hitting the maximum deferral, I’m not sure what this does other than maybe getting the money in sooner?
Enthusiast
Maximizing time in the market.
Just ask. The employer can give you a 401k bonus. There’s a cap on total contributions between you and the employer but it’s something in the low 50k range.
If you ELECT to add the money to 401k then you can only do it up to the electipn cap which is 19 or 19.5 this year. I forget.
But I’d the employer chooses to give you a 401k bonus there’s the higher cap around 50k.
You should also look into something called a mega backdoor roth.