I’m negotiating my raise next week and want some info on employers tax liability

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  • June 13, 2023 at 6:32 pm #83391 Reply
    Nicole

      I’ve googled to no avail.

      I’m the only employee and my bosses have opened a SIMPLE IRA for me. If I ask for my raise in the form of additional employer contributions does that save them money on employer taxes?

      I’d love a win-win scenario for us!

      June 13, 2023 at 6:32 pm #83392 Reply
      Bill

        It’s not a win win. Both wages and matching are deducted from business income for your employer. Both are still net expenses to the employer though.

        June 13, 2023 at 6:33 pm #83393 Reply
        Joshua

          Yes, employer contributions are a tax deduction for the business.

          June 13, 2023 at 6:33 pm #83394 Reply
          Stev

            There are IRS rules for your SIMPLE IRA.
            The employer needs to follow IRS rules and inform the accountant/payroll/plan administrator.

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          Reply To: I’m negotiating my raise next week and want some info on employers tax liability
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