A question using both TT for personal use (Home and Business) and TT for my LLC business.
I get paid via K1 (LLC 2 person, wife and I). When I enter a SEP contribution on my personal tax it deducts from total income, but not SS or Medicare taxes. When I enter it in my business 1065, it reduces overall income on the K1, (also creates entry in row 13 and code of R). Since the overall ordinary business income and self employment earnings is reduced on the K1, I pay less SS and Medicare on my personal return . So it would seem it's much better to do this on the LLC side, vs on the personal side. Am I thinking correctly on this?