Calculating Employer Match 401k - Front loading Salary + Commission

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rocketsrule
Posts: 119
Joined: Wed Jul 10, 2019 1:32 pm

Calculating Employer Match 401k - Front loading Salary + Commission

Post by rocketsrule »

Can anyone help explain how a 401k match works in my situation and if I could be limiting myself and how much the employer matches? I was reading about Tru'ing up and front loading and now it has me thinking.

Employee plan:For every 1% employee contributes up to 6%, company will contribute 0.5%. So 3% up to 6%.

From the looks of my transactions they do it annually around August / September for the previous year.

Let's use 2018 as an example since it's paid annually. I don't have access to 2019's yet because The match hasn't been paid out yet in 2020.

2018 approx
Salary: 70k
Commission:210k
$280k total comp
$18,500 maxed Jan 2018

Match came in around $7,400. does that seem accurate and is there a way to get that increased if I split my contributions monthly and not front load it in January?

Additionally can anybody explain what safe harbor NEC and employer NEC are as there are additional contribution


Since they do it annually do I have to worry about truing up?
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