dmertz
Level 15

Retirement tax questions

I think AnnetteB6 is confused about the types of employment that you have.  It appears that you have income from self employment and also income from another employer (in which, I assume, you do not have a controlling interest).

 

Any retirement contributions made on your behalf at your W-2 employer have no bearing on the amount that you are eligible to contribute to a SEP-IRA from your self-employment income.  Your maximum SEP contribution for 2019 from self-employment income is 20% of net earnings, or $56,000, whichever is less.  Net earnings is net profit minus the deductible portion of self-employment taxes.

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