How much W2 income is needed to fully fund Solo (k + back door Roth IRA

I was curious to get an opinion on the minimum amount someone needs to W2 themselves as an S-Corp to max out their tax advantaged retirement accounts. Would you please take a look at the below scenarios and give an opinion on which would be allowed and which would not be allowed?

Scenario 1- $61,000 of W2 Income-Max Solo K 61,000
Contributions- $20,500 Pretax employee + $15,250 Profit sharing + $25,250 Voluntary After Tax
Would this mix of Contributions be allowed?

Scenario 2- $48,800 of W2 Income-Max Solo K 61,000
Contributions- $20,500 Pretax employee + $12,200 profit sharing + $28,300 of Voluntary After Tax
Would this mix of contributions be allowed?

Scenario 3- $48,800 of W2 Income-Max Solo K 61,000 + Adding in a Roth IRA $6000 Contribution
Contributions- $20,500 Pretax employee + $12,200 profit sharing + $28,300 of Voluntary After Tax + $6,000 Roth IRA Contribution. Would this mix of contributions be allowed, or would I need to increase my W2 wage to $54,800 to allow for the additional $6,000 Roth IRA Contribution?



duplicate

Add new comment

Log in or register to post comments