A family member of mine is self employed, no other employees, freelance type work with multiple clients. She has a SEP IRA.
A family member of hers that is retired, but approximately 45 ish and sitting on a few million by my guess, wants her to "hire him" so he can contribute to a 401k. I don't know if the plan is to pay him 18k, have him contribute it, then have him pay her back. All I've heard is that he wants to be hired to do nothing so he can contribute to the 401k.
To me, this sounds like it might be some kind of tax fraud and I want to warn her. Does anyone have any information on this, whether it's legal or not, any articles, or information from IRS?
Submitted February 04, 2019 at 08:25AM by Truth_bombs_incoming http://bit.ly/2GsTyyD
