Have a Tax Question? Ask a Tax Expert
The excess match contribution was over $2 million? Was the excess contributed on 1 date or over a number of years? What date or dates were the contributions made? How did the company make that error?
The company should correct the error by removing the excess (plus any earnings that may have accrued) from your account. However, none of it will be taxable to you and it will not be reported to the IRS as a distribution.