W-2 C

[Unregistered]

Admittedly, I am a rookie at payroll matters, and need help. I have an S-Corp client for which I also prepare her 1040. I recently found out she made a contribution through the S-Corp to her solo 401(k) plan. W-2/W-3 have already been filed, and I'm assuming I have to go through the hassle of preparing a corrected W-2/W-3 to reduce box 1 earnings on the W-2. Could I instead reduce the income under the adjustments section on the 1040, say as a SEP contribution, or will this create a matching problem and kick out a notice from IRS? Can W-2c forms be filled out by hand? The social security online site for W-2 filing is a PIA. Any help or suggestions are appreciated. Thanks.

[Bees Knees]

Sorry. You are going to have to do it correctly and do a W-2c. You cannot take a deduction for 401(k) contributions on line 28 of the 1040 for an employee of an S Corporation. Line 28 is for self-employed persons only.

[Black Bart]

W-2c

Yeah, you can a do a W-2C by hand--I have. SSA sort of indirectly discourages hand-written stuff because employees don't like to mess with non-scannable stuff, but in actual practice they'll take anything as long as it's legible. I've done single W-2s by hand myself to avoid setting up an account in the computer for a single employee company. And I've seen some of the worst scribbling in the world done by taxpayers (some of it in longhand) and sent to SSA. Nothing ever gets sent back unless it's completely incomprehensible.