Individual 401k and Spousal Simple IRA Contribution in same year

An individual contributed the maximum amount into an Individual 401; the spouse contributed to a Simple IRA in the same business name.

Is this permissible?

 



No, an employer cannot maintain any other plan when a SIMPLE IRA is maintained. The contributions to one of these plans must be returned.

SIMPLE IRA Plan Fix-It Guide – Your business sponsors another qualified plan | Internal Revenue Service (irs.gov)

No. An employer cannot maintain a SIMPLE IRA with any other plan.

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