415(c) Limit for 403(b)

[mas1998]

Will a contribution to a nondeductible IRA need to be included in the aggregation rule 415(c) Limit?  So if my employer and my contributions to my 403(b) is $58,000 in 2021 can I still contribute to a nondeductible IRA?

[FangxiaL]

Yes, you can. IRA is an individual retirement account separate from an employer-sponsor's retirement plan such as a 401(k) or a 403(b) plan. 

[mas1998]

Thank you for a quick response.  My understanding is that I can't contribute to a SEP IRA for my side consulting job because that would put me over the 415(c) limit for a 403(b) which the IRS states is not the same as a 410K but I assumed a nondeductible IRA would be okay since it is after tax dollars so it does not add to the 415 (c) limit.  Or am I incorrect about a Sep IRA?

[FangxiaL]

As long as you have net self-employment income, you can open a SEP IRA, regardless of the fact you have maxed out employer-sponsored 401(k) or 403(b) contributions. You can claim the SEP IRA contributions as tax deductions, unlike the nondeductible IRA contribution if your income is over the limit.