Hello Givann - You didn't respond to my post. The issue is not related to deductions at all.
The relevant IRS regulation on SIMPLE IRA's requires that all compensation be included in the calculation to determine the contribution for a given pay period (employee and employer matching). The language in the regulation specifically uses tips as an example of the elements that make up compensation. Intuit does not include tips in its calculation.
Given that a) this affects all Intuit clients with a SIMPLE IRA and b) Intuit has known about this violation since November of 2021 and still has not resolved it, this violation meets all the criteria for a very public class-action lawsuit requiring restitution for all affected parties.
