No. of Recommendations: 0

I've been reading over the "proposed" legislation for LSAs and RSAs, and I'm a bit confused about what might happen in my situation.. Do you think maybe someone a bit wiser here could take an educated guess?

I currently work full time, and I'm covered by a 401(k) at work. I also have my own Roth.

I work on the side as well, however, and put some of my self-employed income into a SEP-IRA, to help offset my tax load.

From what I understand, the 401(k) would become an ERSA and the Roth would become a RSA, and both would operate the same as before, save for the increased $7500 limit on the Roth/RSA.

But what about my SEP? I noticed mentions of "SARSEP" plans, but I thought these stopped being offered around 1996 -- does this include a regular one-person (the same person is the employee and employer) SEP? If you're only allowed one ERSA, would I lose the ability to contribute to my SEP, or could I have two ERSAs then - my 401(k) for my full time job, AND my self-directed SEP for my self-employment?

I saw no mentioned of the plain ol' SEP.. Any insight?


Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.