The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  http://boards.fool.com/greetings-sam-and-welcome-you-asked-ltltmy-13261151.aspx

Subject:  Re: Do I qualify for SEP-IRA? Date:  9/7/2000  12:37 PM
Author:  TMFPixy Number:  24643 of 76106

Greetings, Sam, and welcome. You asked:

<<My wife and I both 'moonlight' as contractors for a web design outfit. Does this mean that we qualify for the SEP-IRA? Are we only allowed to contribute out of the proceeds from our self-employed income, or can we contribute from our main job's income as well?>>

Yes, you are eligible to contribute to a SEP-IRA based on your net self-employed income. The money may come from anywhere, but the contribution is based on your net earnings from the self-employement. In essence, it may not exceed the lesser of 15% of that amount or $25,500 this year. For details, see IRS Publication 560 (Retirement Plans for Small Business) available at http://www.irs.ustreas.gov/forms_pubs/pubs.html.

Regards..Pixy
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us