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. See the attached:
https://www.irs.gov/retirement-plans/simple-ira-plan-fix-it-guide-your-business-sponsors-another-qualified-plan
Permalink Submitted by Alan - IRA critic on Wed, 2024-05-29 18:15
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)