I am self employed not employees and currently have a SEP IRA that i contribute the yearly maximum. Can I also contribute to a Simple IRA? (I know that I can contribute to a traditional IRA also)
No, as a self-employed person, you cannot contribute to both a Simple IRA and a SEP-IRA.
Please read this IRS document for more information:
https://www.irs.gov/retirement-plans/retirement-plans-for-self-employed-people
No, as a self-employed person, you cannot contribute to both a Simple IRA and a SEP-IRA.
Please read this IRS document for more information:
https://www.irs.gov/retirement-plans/retirement-plans-for-self-employed-people
That sucks. I did contribute to both last year and no flag came up with the app. Shouldn't TurboTax show an error if you filled in both contributions?
I read page 9 of 560 and see no specific prohibition. The only discussion is in the case of multiple plans, the aggegate limit must be respected.
Perhaps the page reference was to an earlier year's Pub 560. In the 2022 Pub 560, on page 13 it says that one of the requirements to be eligible to establish a SIMPLE IRA plan is, "You don't maintain another qualified plan unless the other plan is for collective bargaining employees." This derives from section 408(p)(2)(D) of the tax code.