Roth IRA Contribution for Self-Employed

Forum|Forum|6 years ago
April 8, 2020
1 reply
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I want to contribute $5,550 to Personal Roth IRA. Self-Employed Schedule C income = $58,000. Subtract $10,000 contributed to Individual 401K and 1/2 SE taxes and enough money is left for $5,500. TurboTax is allowing contribution to Individual 401k Roth IRA, but not Personal Roth IRA. Earned Income calculates to Zero. I should be able to contribute money to either account. Why is TurboTax not including self-employed income in earned income calculation?

AmyC

Level 15

You should be allowed to claim both and it should be calculating and allowing. The section requires diligence to successfully navigate. You may want to contact a specialist that can work through that section of the return with you.Please review your entries.

Where do I enter my Traditional or Roth IRA? for your personal ROTH

Where do I enter my SEP IRA contributions? for your 401K ROTH

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MarkieZAuthor

Level 2

Calculates correctly if $5,500 is contributed to 401k Roth IRA. Doesn't calculate correctly if $5,500 is contributed to Personal Roth IRA instead. All entries checked carefully. Does Turbotax Home & Business know Schedule C income is self-employed (sole proprietor) income even if a business name is entered?