I am having similar doubts about how turbotax is dealing with sep/simple/roth deductions.
i tried to enter a roth and it tells me it isn't allowed, since there is no earned income, even though it has the schedule C and earned income entered on 1040, along with self employment tax. but then in the in the form view, the Roth amount is listed.
when I tell it to maximize SEP and then enter a Simple amount $3000 more than the $2420 part time income, it tells me I can contribute $500 more. . So I try that, and again, tells me the maximum is $500 more. On and on.
It also mentions the employer match, though not whether this is intended at part of the entered amount or in addition.
the keogh/SEP worksheet shows a maximum allowable Simple amount of 16,500, though the IRS site
IRA tips for sole proprietor
clearly states than Simple contribution can't be more than earned income plus $3000 catch up.
I don't have a good feeling about this.
