Contact a SEP or IRA consultant. You may have one at your bank and ask if your particular self-employed situation allows a deduction.
A Simplified Employee Pension (SEP) or (SEP-IRA) provides business owners with a simplified method to contribute toward their employees’ retirement as well as their own.
Contributions are made to an IRA set up for each plan participant and cannot exceed the lesser of:
- 25% of compensation paid during the year
- $56,000 for 2019 ($55,000 for 2018)
Investment, distribution, and rollover rules are the same as traditional IRAs.
Related information:
