Can an employer contribute to two separate sep ira acounts for emplyees?

[dcramsey]

My S corporation (one employee/officer) has two separate sep accounts set up.  Is it possible to contribute to both accounts in the same year as long at total contributions don't exceed limits?

[dmertz]

Yes.  It doesn't matter what SEP-IRA owned by an individual employee receives the SEP contributions.  SEP-IRAs are owned by the individual, so all of the SEP-IRAs owned by the individual can be thought of in aggregate as if they were a single SEP-IRA.  However, splitting the SEP contributions required to be made for a particular employee could create an accounting headache, particularly if the SEP plan is managed by a third party such as a payroll processing firm.

You can't have two different SEP plans at the same time, though.  Eligibility requirements and the contribution rate as a function of compensation for all eligible employees must be the same.

[dcramsey]

Thank you!  I thought that this was the case, but couldn't find a definitive answer anywhere.