I agree. However the person answering that question is very expert in these matters. And the people asking the questions on their forum are indeed mostly paying clients.Advice on the Internet is sometimes worth exactly what you paid for itLook at the first 2 posts in this thread:Are they talking about pre-tax 401k contributions?Thank you. So why am I seeing answers like this one on MySolo401k.net's forum?Yes. You can do the same if you are a W2 employee, as your after tax and Roth 401(k) contributions still appear in box 1.
https://mysolo401k.net/mycommunity/foru ... ontribute/
"provided that one can’t use the same compensation to justify compensation to both a Solo 401k and IRA"
And I see some other similar responses there. They are very expert on these subjects. So I'm hesitant to just disregard their answers. Hopefully I'm just misunderstanding something.
Because this section of pub 590-A seems unambiguous:Note the word I bolded.Self-employment income. If you are self-employed (a
sole proprietor or a partner), compensation is the net
earnings from your trade or business (provided your per-
sonal services are a material income-producing factor) re-
duced by the total of:
• The deduction for contributions made on your behalf
to retirement plans, and
• The deduction allowed for the deductible part of your
self-employment taxes.
https://mysolo401k.net/mycommunity/foru ... ributions/
It seems like the OP is asking almost the exact same question I'm asking here. But the response says "you would need to have at least have other sources of income (not necessarily self-employment income) to justify the Roth IRA contribution". And here he is explicitly asking about Voluntary After-Tax Solo 401(k) contributions (not Pre-Tax) and Roth IRA, not Traditional IRA.
Statistics: Posted by GoldenBear17 — Sat Sep 07, 2024 1:31 am — Replies 7 — Views 662
