How to handle 401K Catch-up Contributions?

May 09, 2008 1 Replies

Quicken Premier 2008 Windows XP



I've recently started having a 401K catch-up contribution deducted from my paycheck. I'm wondering what's the best way to add this to my paycheck. When I edit my current paycheck setup to add the new catch-up deduction (which is $100) as a pre-tax deduction, Quicken simply subtracts this amount from my net pay. In other words, it seems to treat it as an after-tax deduction, not a pre-tax one.



I've tried both adding the $100 catch-up deduction to both my current



401K deduction and as a new separate pre-tax deduction. Either way, Quicken seems to treat it as an after-tax deduction, thus goofing up my net pay.

The built-in help is relatively useless in this area and I couldn't find anything either in google groups or in the Quicken community area that seems to address this exact situation.



Anyone else run into this situation? Should I simply delete my current paycheck setup and start over from scratch?


-Thanks,


OK, I'm missing something here. If the catch-up contribution is coming from your paycheck ... how is it NOT reducing your (why should it not reduce) net pay? Is your employer making an additional $100 payment to you, that's being directed to your 401k?

db

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