QUESTION:
Can I contributed to my solo 401K if my wife has about 90K/year of salary? If so, what is my maxim contribution?
ANSWER:
No as you can only contribute to the solo 401k based on your net self-employment income, not your wife’s self-employment income.
However, you may qualify for a spousal IRA contribution based on her earned income. You can open spousal IRA with Fidelity Investments for example.
Adding/Including Spouse in the Solo 401k Plan
Spousal IRAs
“If you file a joint return, you may be able to contribute to an IRA even if you did not have taxable compensation as long as your spouse did. The amount of your combined contributions can’t be more than the taxable compensation reported on your joint return. See the formula in IRS Publication 590-A.”
