Both my wife and I own our own businesses. As yet, we haven't put any money into our SEP IRAs for 2019, so in doing taxes, I chose "Maximize Contribution to Individual IRA" to see what we could add by July 15. TurboTax has come back with pretty high numbers that seem surprising - over 50K for me, and $32K for her. This seems to be a combination of 20% x our self-employment earnings, plus allowable catch up of $6K ea., plus Allowable elective deferrals of $19K ea. This seems like a lot, esp. compared to what we maximized for 2018. Is this accurate - i.e. can we actually put that much into a SEP IRA and take that as a deduction? TurboTax is including this total as part of Income Adjustments in Schedule 1, Line 15, which is lowering our tax significantly. Just wondering if this is correct? If I remove "Maximize Contribution to Individual IRA", but keep it for SEP IRA only, it is saying the max amount if $26K for me, and $7K for her. A bit baffled.
