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Hi, did anybody ever experience wrong tax calculations by JPMC Payroll/tax team ? Or is there any specific month where they deduct more tax. Huge amount of tax deduction is done for Oct payout. From my CA’s calculation the amount deducted by JPMC team looks wrong. Anybody experienced this?
JPMorgan Chase
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Is this for real?

First major hit in forever

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CAIA vs CFA?
Think my team hates me lmao
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Chief
You can, and you will be fined for it.
No, you would get it returned and taxed, may also be a penalty but not sure. I would make sure you stop at the limit
Your company doesn’t know, which is the reason you’d be able to contribute more than the max. Unfortunately, the IRS knows because your companies report contributions to them.
You’ll be forced to remove the excess, pay taxes on the money if it was a traditional 401k contribution, and if you don’t have the transaction reversed in time you’ll pay the 10% early withdrawal fee.
You can report the overcontribution to your plans administrator to have them reverse it
Chief
Straight to jail
SEAL Team 7 is responsible for enforcing this rule. Your accounts are monitored by the NSA.
You need to stay under the limit, and the IRS will know if you don’t. Both companies will issue a W2 showing how much you contributed to your 401k. Your tax return will combine these contributions into a single line item.
Thanks all. Obviously didn't intentionally set out to overcontribute. Got my wires crossed a bit with the different brokerages. And make more now so even if my % didn't change much, my $ contributed did
Follow up question- can I keep contributing to aftee tax 401k since those are different buckets?
Very likely. There’s a $61k cap on contributions from any sources in 2022:
-Your normal contributions (up to $20.500)
-Employer matches
-After tax contributions