Sep ira for part time independent contractor
if I participated in a company sponsored 401k at my job, And I also earn 1099 income through my independent part time contract work ( I did not incorporate or establish a company), can I contribute part of the 1099 income to a sep ira and have tax deductions on the sep contribution? Please note that I did not form a company. Must I form a company in order to contribute to a sep ira? Thank you in advance for your responses!!
Permalink Submitted by David Mertz on Tue, 2019-01-15 13:30
Yes, an independent contractor with a profit shown on Schedule C can establish a SEP plan and contribute to a SEP-IRA. The deadline for doing so is the due date of your tax return, including extensions. You do not have to incorporate; sole proprietors can establish a SEP plan.