What is the limit I can I contribute to an individual (Solo) 401k and to a Traditional IRA

[Taxman]

What is the limit I can I contribute to an individual (Solo) 401k and to a Traditional IRA?  I am over 50 years old and have $30,000 of earned income from consulting.  Everything I read says I can contribute to both a solo 401k up to $24,500 ($18,500 plus $6,000 catch up as an employee) and that I can contribute to a traditional IRA (up to $6500).  I recognize that the deductible portion will be affected by having a 401K.  Does that mean that I can contribute to both a solo 401K and an IRA and the combined amount could actually exceed my earned income of $30,000?

[MargaretL]

You can contribute to both accounts but the total amount cannot exceed your earned income. 

Based on your information... and very roughly speaking... your net self-employment income, minus one-half of the self-employment tax, minus your 401(k) contribution is what is allowed as your IRA deduction, the leftover amount will be treated as an excess contribution. (I'm using a very simplified formula with only the factors you provided... )

TurboTax will do the calculations for you. Be sure to enter your self-employment income and 401(k) contributions first. Then, go to Deductions and Credits and enter your Traditional IRA contributions. The software will provide you with the deductible amount for the IRA contribution. The calculations are done on the Earned Income Worksheet if you'd like to look at it. (You must pay for the program first if using TT online, or go to Forms mode if you are using cd/download).