; qualified wages (A) Wages The term wages has the meaning given such term under section 3401(a), determined without regard to paragraph (8) thereof. (B) Qualified wages (i) In general The term qualified wages means wages increased by— (I) any elective deferrals (within the meaning of section 402(g)(3)) not included in wages, and (II) any amounts described in section 415(c)(3)(D)(ii) which are not included in wages. (ii) Self-employed individuals and owner-employees In the case of an employee (within the meaning of section 401(c)(1)), the term qualified wages includes the earned income (as defined in section 401(c)(2) of such employee, but determined without regard to any exclusion under section 911) of such employee. (4) Applicable employee For purposes of this subsection— (A) In general The term applicable employee means any individual whose wages in connection with services performed for the applicable employer for the calendar year are equal to or more than $5,000. (B) Inflation adjustment (i) In general In the case of any calendar year after 2024, the $5,000 amount under subparagraph (A)(ii) shall be increased by an amount equal to— (I) such dollar amount, multiplied by (II) the cost-of-living adjustment determined under section 1(f)(3) for such calendar year, determined by substituting calendar year 2023 for calendar year 2016 in subparagraph (A)(ii) thereof. (ii) Rounding The amount of any increase under clause (i) shall be rounded to the nearest multiple of $100. (d) Joint and several liability If more than one taxpayer is treated as a single employer under this section by reason of subsection (b)(2), then each such taxpayer shall be jointly and severally liable for the tax imposed by subsection (a). (e) Regulations The Secretary shall issue regulations as necessary to prevent avoidance of the purposes of this section, including regulations to prevent the manipulation of the pay disparity factor by changes to the composition of the workforce (including by using the services of contractors rather than