1
Your salary deferral amount must be in accordance with your 401(k) Salary Reduction Agreement election made prior to your plan
year-end.
2
If you are age 50 or older, or will turn age 50 during the calendar year for which you are making the contribution, you may be able to
make an additional contribution up to the limits outlined on this worksheet.
Part I – Calculate Your Adjusted Net Business Profits
1. Business Net Profits 1. $ 100,000
(From Schedule C, C-EZ, or K-1)
2. Self-Employment Tax Deduction 2. $ 7,065
(From IRS Form 1040 Schedule SE)
3. Adjusted Net Business Profits 3. $ 92,935
(Subtract Line 2 from Line 1)
Part II – Calculate Your Maximum Salary Deferral
1
4. Annual Salary Deferral Limit 4. $ 23,000
(Enter $23,000 for 2024)
5. Maximum Salary Deferral Amount 5. $ 23,000
(The lesser of Line 4 and Line 3)
6. Adjusted Net Business Profits after Salary Deferral 6. $ 69,935
(Subtract Line 5 from Line 3)
If the result is zero, stop here. The result on Line 5 is the
maximum contribution you can make to your plan.
Part III – Calculate Your Maximum Profit Sharing Contribution
7. Calculation A: Divide Line 6 by 2.00 7. $ 34,967
8. Calculation B: Multiply Line 3 by 0.20 8. $ 18,587
9. Calculation C: Subtract Line 5 from $69,000 for 2024 9. $ 46,000
10. Maximum Profit Sharing Contribution 10. $ 18,587
(Enter the lesser of Lines 7, 8, or 9)
Part IV – If Age 50 or Older by Applicable Year-End,
2
Calculate
Your Maximum Catch-Up Salary Deferral
11. Annual Catch-Up Salary Deferral Limit
(If age 50 or older by applicable year-end) 11. $ 7,500
(Enter $7,500)
12. Adjusted Net Business Profits after Salary Deferral
and Profit Sharing Contribution 12. $ 51,348
(Subtract Line 10 from Line 6)
13. Maximum Catch-Up Salary Deferral Amount 13. $ 7,500
(Enter the lesser of Line 11 or Line 12)
Part V – Calculate Your Maximum Contribution Amount
14. Maximum Contribution Amount 14.
a. If you are under age 50, add Lines 5 and 10 $ 41,587
b. If you are age 50 or older by applicable year-end, $ 49,087
add Lines 5, 10, and 13
Yourself
2024
Example
Fidelity Brokerage Services LLC, Member NYSE, SIPC
708565.10.0 900 Salem Street, Smithfield, RI 02917 1.9862937.109
Calculate your maximum contributions