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Level 2
posted Apr 1, 2022 12:47:55 PM

Maximize SEP-IRA contribution

I checked the "Maximize" box on the SEP IRA. It calculated the IRS limit of $58,000. However, my self-employment income to reach that limit is spread across several different businesses. Can I just open one SEP-IRA and contribute the full $58,000 or do I need to open a separate SEP-IRA for each business? If so, how can I find the breakdown for how much to contribute from each business?

0 3 760
3 Replies
Expert Alumni
Apr 1, 2022 2:22:33 PM

You can have one SEP-IRA for all your sole proprietorships because they are under common ownership.

 

See Case of the Week: Multiple SEP Plans

Level 2
Apr 1, 2022 3:21:54 PM

@ErnieS0One business is a sole proprietorship and the other is 3 member LLC where I am the only partner with self employment income. Can I still have one SEP-IRA for both?

Expert Alumni
Apr 2, 2022 8:55:30 AM

Yes. They are all controlled by you. I'm assuming none of these businesses has any employees.