Ambers employer. Lavender, Inc., has a 401(k) plan that permits salary deferral elections by its employees.
Question:
Amber’s employer. Lavender, Inc., has a § 401(k) plan that permits salary deferral elections by its employees. Amber’s salary is $99,000, her marginal tax rate is 24%, and she is 42 years old.
a. What is die maximum amount Amlier can elect for salary deferral treatment for 2018?
b. If Amber elects salary deferral treatment for the amount in part (a), how much can she save in taxes?
c. What amount would you recommend that Amber elect for salary deferral treatment for 2018?
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a The maximum amount for which Amber can elect 401k plan salary defe...View the full answer
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Related Book For 
South-Western Federal Taxation 2019 Comprehensive
ISBN: 9781337703017
42th Edition
Authors: David M. Maloney, William A. Raabe, William H. Hoffman, James C. Young
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