1 Scientists use the â instrument to â measure the intensity of the â light. 2  The â firemen were â forced to â retreat by the intensity of the â heat. 3  The intensity of the â earthquake is â measured on the Richter â scale.
Your employer will likely continue to contribute to these accounts with the bonus payout using the original contribution percentage that you set up. So if you already automatically contribute 5% of your gross income to your 401(k), your employer will probably take 5% of your bonus money and put it in your 401(k). If you are not careful, you could exceed your annual maximum allowable tax-deductible contributions to your 401(k).
The plan is funded jointly by employeesâ elective salary deferral contributions and employer contributions. Both employee and employer SIMPLE IRA contributions are tax deductible and, because the contributions are made to an IRA, the earnings inside the account are tax deferred until withdrawal.