FAQ 800: Budget--Partnership compensation reduction/staff match expense added on top of original income


K-1 income reported is X. When using the budget routine to calculate the safe harbor match, the compensation is being increased by the ASC calculated match.


Because the match formula is set up in source 3 and the contribution is in Source 4, the Benefit Limits (BENLIMIT) screen is coded to move the Source 3 match to source 4 since it is a safe harbor match. With this setup, when you run the Budget and print the Partnership report, you need to check both Source 3 and Source 4.