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    msunil's Avatar
    msunil Posts: 1, Reputation: 1
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    #1

    Dec 3, 2007, 11:03 AM
    Solo 401k or SEP IRA for side job income?
    My wife has a 1099 Income(50k) and a regular full time job in which she contributes to employers 401k. She wants to maximize the amount of money she want to contribute to retirement plans for 1099 income. Is she eligible to open an solo 401k or SEP IRA account and reduce taxes? If she can what is the best option?

    Thanks
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #2

    Dec 3, 2007, 06:33 PM
    She can open (perhaps )a traditional IRA, but almost for sure a ROTH IRA.

    She is also eligible for a variety of pension plans from SEP IRAs to profit sharing to SIMPLE plans on her 1099 contractor job.

    She can do the research herself, or contact a pension specialist who can go over the various options available to her.
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