Hi all,
In 2025, I had $19,153.75 of 1099 income. I opened a Solo 401(k) and contributed $17,800, but TurboTax is telling me "Using the maximum allowable contribution, you can defer a maximum of $17,690 to a 401(k) plan." Does anyone know how they are getting this calculation?
I had calculated using this: =$19,153.75-(($19,153.75*0.9235*0.153)/2)
I checked a few online calculators (including Fidelity, where my Solo 401k is held) and they indicated max contributions of $17,800.
In addition, I had a total of $141k in W2 income, but only contributed $915 to my employer's 401k, so did not reach the max 401k limits for the year.
Is there something I am missing here that would explain the discrepancy in max allowable contributions? I just want to figure out what is going on before I pull $110 in contributions from my Solo401k.
Thank you!
A maximum contribution of $17,690 implies net profit of $19,035. Did you enter $119 of expenses that reduced your net profit from $19,154 to $19,035? Examine your Schedule C net profit shown on Schedule 1 line 3.