roylaties
Can an individual receiving royalties from writing text books put those royalties into qualified plan such as solo 401k or profit sharing plan?
Can an individual receiving royalties from writing text books put those royalties into qualified plan such as solo 401k or profit sharing plan?
Permalink Submitted by Alan - IRA critic on Tue, 2014-11-11 02:53
In some cases. See the attached:http://benefitslink.com/modperl/qa.cgi?db=qa_who_is_employer&n=150#.VGF5mp3n_hA
Permalink Submitted by mk foss on Tue, 2014-11-11 19:11
If you receive royalty income from a book that you wrote, the income is SE income which you need for estabishing a retirment plan. You can’t put the royalty income into the plan dollar for dollar in most plans. The solo 401k has to be established before the year end for which you’re making a contribution but allows higher contributions.