I worked for an employer with a 401k and contributed for 4 months of the year. I also was self-employed. Can I contribute to an IRA based upon my self employment income ?

[kairin]

I was laid off in Apr 2020 and contributed to 401k for only 4 mos.  Can I also contribute to an IRA for my self-emp income even though I also had a 401k?

[DawnC]

Yes, you can contribute to the Traditional IRA, but your deduction may be limited.   The annual contribution limit for 2020 is $6,000, or $7,000 if you’re age 50 or older.   For contributions to a traditional IRA, the amount you can deduct may be limited if you or your spouse is covered by a retirement plan at work and your income exceeds certain levels.    

2020

• IRA Deduction if You ARE Covered by a Retirement Plan at Work - 2020   

• IRA Deduction if You Are NOT Covered by a Retirement Plan at Work - 2020 (deduction is limited only if your spouse IS covered by a retirement plan)

Self-Employed Individuals – Calculating Your Own Retirement-Plan Contribution and Deduction  If you have a retirement plan set up for your business.  

End of Year Retirement Tips for Employees and the Self-Employed