How is self employed retirement maximum allowable contribution calculated?

I am self-employed with a business partnership. My husband is a W-2 employee but also participates in our business. I am eligible for a SEP and contributed for 2016 but would like to contribute more. How is the maximum allowed contribution to qualified plans calculated? Does this amount also include any amount my husband contributed to his other company's 401k?

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How is self employed retirement maximum allowable contribution calculated?

You can contribute to your SEP as much as 25% of your net earnings from self-employment (not including contributions for yourself), up to $53,000.

Please read this IRS document for more information:

https://www.irs.gov/retirement-plans/retirement-plans-for-self-employed-people

This contribution is separate from your husband's contribution to his 401(k) account.

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