How to calculate SELF EMPLOYMENT TAX deduction for retirement plans [SEP IRA + Solo 401k]

How to calculate SELF EMPLOYMENT TAX deduction for retirement plans. This calculation is for SEP IRA and SOLO 401k profit-sharing contributions.
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[@kitkarson4226]

I had no idea about the calculation. Learnt something new. Thanks. 👍

[@lnkinc6823]

wow great video... Its the little things that make a BIG difference.... very easy to over look. I do want to ask where on the schedule c to we place the employer and employee contributions is it all placed on line 19 Sch C ? Thank you again

[@MarkvanBuskirk]

Might want to think about starting a Patreon as well so people who don't like supporting through RUclips.

[@TravisSickle]

I never thought about it that way, I’m going to look into that today. Thanks!

[@manuvns]

can you do the same if i was s-corp and pay myself 100k in w2 , how does it impact FIT / federal tax for employee and k1 tax for business owner

[@VF7RM]

Thank you for the amazing content. Could you please explain someday how will this work for partnerships along with the 1065 and K-1

[@TravisSickle]

It's going to be the same just specific to your share.

[@VF7RM]

@@TravisSickle thank you for the quick response.
Doesn't it need to be added to the 1065, Box 18 which refers to Retirement 🤔🤔🤔

[@chriscooper6839]

I have watched a video showing how to figure out how much taxes I owe but I'm not sure how I figure in how much taxes I payed thought out the year and how to figure put 2 children care credit in as well can you help

[@TravisSickle]

Your paystub will show it

[@cryptobullish]

Kind of confused by what you mean by “1/2 of self employment tax” around 6:05? We’re the final calculations only applicable for 1/2 of the earnings? What about the other half? Thanks

[@TravisSickle]

Self employment tax is all the social security and Medicare taxes combined. 1/2 of that number.

[@tapiocajai]

how did you get the number 0.92935? I am an S corp that pays myself $55k gross income as W2 and i want to do a profit sharing of 25% nonelective contribution to my solo401k. 25% is $13750 and I assume this will be my S corp deduction in total. However, the SE tax portion of the $13750 can not go to the 401k account. I am trying to figure out what is the SE tax on the $13750. I am using this 1040 FORM schedule SE form you have in your video to calculate this but line 12 Self-employment tax is coming out to be $529.22 which isn't quite $13750 - ($13750*.9235). there lies my confusion.

[@TravisSickle]

S-corp is completely different. You are NOT self-employed in this sense. I setup my own 401k with an s-corp and have videos on it. much easier calculations.

[@dermo-hk6pu]

Link to the video please