SEP IRA

Forum|Forum|5 years ago
February 14, 2021
1 reply
13 views

I have a traditional IRA contribution maxed 7K

I show an amount due on Fed taxes

I am trying to contribute to a SEP IRA in addition to the traditional IRA

If I tell it to max the contribution It lowers amount due. fine

If I tell it that I only put in 3,000 it makes the amount due rise.

What's up with that?

TurboTax Home & Biz Windows

macuser_22

Alumni - Champ

A SEP is not a Traditional IRA.

If an employee, SEP contributions are in box 12 on your W-2, if self-employed, SEP contributions are reported on your Schedule C. Nothing is entered into the personal IRA contribution section.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

crumbsterAuthor

Level 2

not the question I have an IRA Traditional I also Have a SEP Ira I max my Regular IRA and try and con tribute to my SEP Ira if I hit the max IRA for my SEP it lowers my Tax due, If I contribute 3,00 to my Sep it raises my Tax due..... wtf?

macuser_22

Alumni - Champ

A personal Traditional IRA and SEP are separate and each has it's own limits. One does not affect the other when properly entered.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**