SEP IRA and TIRA transfer

Opened a traditional IRA and SEP before tax filing deadline in 2023. Made contributions for prior year (2022).

Opening a Solo 401(k) for 2023. There’s no issues with rolling the SEP and Traditional IRA into the 401(k) plan – as long as the 401(k) plan accepts rollovers, correct? I wanted to make sure there wasn’t some type of timing issue because the SEP and Traditional IRA have only been open for 3 months.



If your IRA contribution for 2022  is not deductible due to income limits, it cannot be rolled into a 401k or if some portion of your 2022 SEP contribution is an excess contribution, that amount is also not eligible for rollover to a 401k. Either would result in corrective distributions from the solo K. Those are the two problems you must avoid. The short time these IRAs are open is not an issue.

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