Retirement tax questions

Let's look at some rules:

• The SEP is a workplace retirement plan which means your income affects allowed traditional IRA contributions.
  • For example: If you are single, covered by a workplace retirement plan and make over $89,000, no deduction is allowed for a traditional IRA. To view other scenarios, see Limit if Covered by Employer Plan.
• The IRS caps the maximum you can contribute to all retirement plans combined - including catch-up contributions at $70,000 for 2025 OR your income, whichever is lower.
  • For example: If you put $68,000 into your SEP there would only be $2,000 available for your IRA.

If either scenario above -your income was too high or you over-contributed:

•    you will  want to remove the excess contribution and earnings from your  broker to avoid a 6% penalty per year the excess remains by the due date of your return.
•      correct your return. Follow the options here.

If neither is true,  review your answers by looking at the forms to find where something is incorrect. Once found, return to that part of the program and change your answer.

 To print or view  your forms, including all worksheets:

• In desktop, switch to Forms Mode. 
• For online:
  1. On the left side, select  Tax Tools
  2. Select Print center
  3. Select Print, save or preview this year's return
  4. If you have not paid, select pay now.

[Edited  for better comprehension 2/13/2025 | 8:55 am PST]  @Fourtrouts