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Yes, based on wages, not SCorp profits. The "1 = max" calculations and irs.gov will help you get the right amounts. Remember that if you make employer contributions for the owner, you have to make pro-rate contributions for any other eligible employees, if any.
Yes, based on wages, not SCorp profits. The "1 = max" calculations and irs.gov will help you get the right amounts. Remember that if you make employer contributions for the owner, you have to make pro-rate contributions for any other eligible employees, if any.
Actually, it is the other way around. The corporation with an employee/officer can contribute to the employee's SEP. So it is the corporation that is doing the contribution, not the employee/officer.
Agreed. Sorry, I rushed my prior comment. Employer contributions would go on 1120-S, any employee-level/side contributions are essentially a traditional IRA contribution and would go on the S-Corp owner's 1040.
Agreed. I was referring to the setup in custodian accounts. Back when I had a SEP IRA, using Vanguard, their interface showed the ability to make "EE SEP contributions." If I put any in, it used up my annual tIRA allotment.
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