Amber’s employer, Lavender, Inc., uses a § 401(k) plan that permits salary deferral elections by its employees. Amber’s salary is $99,000, her marginal tax rate is 24%, and she is 42 years old.

a. What is the maximum amount Amber can elect for salary deferral treatment for 2022?

b. If Amber elects salary deferral treatment for the amount in part (a), how much can she save in Federal income taxes?

c. What amount would you recommend that Amber elect for salary deferral treatment for 2022, considering only the Federal income tax effects?