SEP IRA Calculator
Calculate your maximum SEP IRA contribution limits for 2024
A SEP IRA (Simplified Employee Pension IRA) allows self-employed individuals and small business owners to make retirement contributions of up to 20% of their net earnings or $69,000 (2024), whichever is less. While this can be a good option for some, we typically recommend considering a Solo 401(k) instead for several key reasons:
- Solo 401(k)s allow both employer and employee contributions, potentially letting you save more
- Solo 401(k)s provide more flexibility with loan options and Roth contributions
- If you have employees, SEP IRAs require you to contribute the same percentage for all eligible employees
Check out our Solo 401(k) Calculator to compare your options.
Your Information
Your total business revenue before expenses
Total deductible business expenses
Your Results
$0
Your business income after expenses and SE tax deduction
$0
Maximum available for retirement accounts after IRA contributions
$0
20% of net earnings (maximum $69,000 for 2024)
Consider a Solo 401(k) Instead
A Solo 401(k) could allow you to contribute significantly more than a SEP IRA. With a Solo 401(k) from Solo401k.com, you can also access benefits like Roth options, checkbook control, and the ability to invest in alternative assets.
Important Notes
- • SEP IRA contributions are limited to 20% of net earnings from self-employment
- • The maximum contribution for 2024 is $69,000
- • Total retirement contributions (IRA + SEP IRA) cannot exceed your earned income
- • The 2024 IRA contribution limit is $7,000 ($8,000 if age 50 or older)
- • If you have employees, you must contribute the same percentage for all eligible employees
- • You must establish a SEP IRA before making contributions
- • This calculator is for educational purposes only - consult a tax professional for specific advice
Need help calculating your self-employed taxes?
Use our free Freelance Tax Calculator to estimate your deductions and overall tax strategy.
Ready to compare with a Solo 401(k)?
Use our Solo 401(k) calculator to see how much more you could potentially contribute.