Pre-tax contribution

Pre-tax contribution

Payment to an account made with funds from a worker's paycheck before federal income taxes are deducted.

Pre-Tax Contribution

A contribution made to a retirement plan with taxable withdrawals. That is, when one makes pre-tax contributions to a retirement plan, one does not pay taxes on the contributions in the year they are made, but defers taxation until one begins to make withdrawals from the plan. One makes pre-tax contributions to traditional IRAs and most 401(k)s. See also: After-Tax Contributions.
References in periodicals archive ?
3m in stock for a total pre-tax contribution of USD9.
Mokrohisky's proposed pay package also includes an up-to-10 percent addition to his base salary in "deferred compensation" - a pre-tax contribution that the county puts in a pooled investment account.
Over time, the impact of this additional rate of return --coupled with the pre-tax contribution allowance--is substantial.
The net result is a full pre-tax contribution and excluding capital gains from income, generating even more after-tax wealth.
8m pre-tax contribution to a charitable foundation formed in connection with the conversion.
Exhibit 1 presents the increase in after-tax cashflow to a single taxpayer, arising from an additional $11,000 pre-tax contribution to either a Sec.
See Non-GAAP Financial Measures for definitions of Adjusted Earnings Per Share, Adjusted Pre-Tax Contribution, Proportional Gross Margin, Adjusted Gross Margin, Proportional Adjusted Gross Margin, Proportional Cash Flow From Operating Activities, Consolidated Free Cash Flow, Proportional Free Cash Flow, as well as reconciliations to the most comparable GAAP financial measure.
In the first quarter of the current year, the company made a $300 million voluntary pre-tax contribution to its domestic pension plan compared to $150 million in voluntary contributions in 2011.
Thus, in 1997, when the maximum pre-tax contribution to a Sec.
MANY FIRST-TIMERS SKIP THE 401K, BUT YOU CAN LOSE OUT ON "FREE" MONEY SINCE MANY EMPLOYERS MATCH SOME OF YOUR PRE-TAX CONTRIBUTION.
For reference, pre-tax contribution from our credit card operations in 2007 is expected to total approximately $600 million.
Boston Scientific also announced that beginning in January 2005, the Company will increase the amount it matches when employees make a pre-tax contribution to the 401(k) plan, from four percent to six percent of pay.