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sugarman

Help - District Made A Mistake

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My wife is a public school teacher in Michigan. In December 2005, she submitted a payroll deduction form for her 457 plan asking for the maximim amount ($15,000) plus the catch up amount ($5000) to be deducted in 2006. According to her last paycheck, the district has only deducted $18,000. They admit this was their mistake, but say there is nothing they can do about it. Does anyone have any ideas how to correct this mistake or what we should do? Thanks!

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Hi surgarman,

A similar situation happened to me, but it was over a month before the end of the year, so the district had time to correct the situation. The district simply doubled my usual deduction amount from my last paycheck to catch up. Unfortunately, it is too late for your wife, assuming that she will not get another paycheck before 2007.

Sorry,

Steve

 

 

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