Is it beneficial to increase % for 401k for the pay period for AIP? What has worked for people in the past so that they can save as much as they can from being taxed?
9 replies (most recent on top)
In order to get as much of the company match (in case of more reductions), I've always thought the best plan was to put as much in, as fast as you can, each year.
For years I’ve guessed the payroll date to be able to divert it to the 401k, and I messed it up one time! Usually, it comes the first pay in March (or early March), so the Schwab adjustment has to be done in the early part of the window of the pay periods ending and beginning…it sounds more complicated than it is….but, start by asking your lead if they have the date for 401k purposes, and search around in the ABC site to see if there are any clues, or directly put in the Hi page search when it’s coming in the pay cycle you’re on
Workday makes it very hard to enter a biweekly HSA contribution that would make you exceed the annualized max. It may be easier to just mail a one-time check contribution to HealthEquity.
I was wondering the same thing but have it go into my HSA account. I would assume changing that amount within that same timeframe? I wish they would make that an easier option rather than it going to taxes if it is even possible. In the past, by the time we were told how much and when it was happening it was too late to make the change.
Whatever the AIP is, that is what does into the 401k
What AIP?
How do you calculate a good % so that you're not losing your regular paycheck since it's all combined in one check?
Yes.i have done it every year
I have done that in the past. It's an easy way to ensure you max out your 401k contributions. You will want to change the contribution on the Schwab site no later than 8 days before the bonus payout as Schwab only sends contribution % updates to Humana on Fridays.