Keogh/SEP/Worksheet allow for both SEP and solo 401k simultaneous contributions calculation.

[treasur2]

Keogh/SEP/Worksheet does not allow for the simultaneous contributions of these two DC-type plans.

My client maxes out his combined (50+ years) DC limit every year (2024 $76,500) with a more modest income than $345,000. The is the limit stated on the worksheet and otherwise.

He does this by ..

1. Maxing his 2024 "elective deferral" of $23,000 and $7,500. To equal $30,500

2. Then subtract that from $76,500. Leaving $46,000

3. Then dividing by 2 and getting $23,000

4. Contributing both $23,000 as the employer to the 401(k) and the SEP.

If I use the above worksheet, it incorrectly calculates that the maximum deferral is substantially less. This year, the number it calculates to $42,305

Each year, I go in and override it. Several years ago, I did call in and point this out. Unfortunately, the rep was dear in the head-lights about what I was talking about.

I think the worksheet is very misleading and technically wrong.

[Anonymous]

Hi @treasur2 I sent you a direct message for more details. Thank you. 
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