If I understand correctly, your option is: 1. Not taking a distribution from your SEP IRA and not contributing to your SEP IRA this year OR 2. Taking a distribution of $2,500 taxable in 2019 and contributing that amount this year to get a tax break. Supposing your marginal tax rate is 22%, your tax savings this year is $550 which you will repay in extra tax next year. If you invest that $550 on the money market at say 2%, your gain would be $11. The decision is yours!
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
