I'm 57 years old and I have 2 jobs. I work for company A and I contributed $11,500 to that 401(k). I also moonlight and earned an additional $30,000 net income and I'd like to put as much money as I can into my Self Employed 401(k), but I'm confused by the amounts the TT tells me I can contribute when I tell it to maximize my contributions.
The way I understand it, my total elective deferrals can't exceed $26,000. I've already contributed 11,500 to company A, so I choose 8000 elective deferral plus 6500 catch up contribution to my self employed 401k.
The profit sharing contribution is capped at 20% of 30,000 or 6000, making my total contribution to my self employed 401k 20,500 (8000 + 6500+6000).
If I choose Maximize contribution, TT just tells me I can defer a maximum of 23,332. Who's right?
