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Self employed
A Simplified Employee Pension or "SEP" plan is an employer-sponsored plan, and as such does constitute covered at work for purposes of making deductible traditional IRA contributions.
Pub 590 does address the definition of a SEP which is "a plan that allows your employer to make contributions". When you make a contribution to the SEP, you are doing so as the employer not the employee. This makes it a plan that covers you "at work".
It just so happens in this case, that you are also your employer.
You can still make your traditional IRA contribution, but your ability to deduct that contribution may be limited. For some IRS guidance on this issue, see the SEP Plan Fix-It-Guide.
@Anonymous
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March 12, 2025
3:16 PM