Ok. So here is the situation.
I am self-employed. I have a Solo 401k. My wife works for the state we live in. She has a pension as well as a 401k at her job. Because she has the pension, her 401k has no employer match, and frankly, the investment options she has at her disposal are less than inspiring.
I have been considering hiring my wife to do paperwork for my business. She's always done it, but I want to make it official and pay her for her work.
Here's my question. I know we can each contribute $19,000 a year to our respective 401ks. Let's say I hire her and pay her $20/hour for 5 hours a week. At 52 weeks a year, that's 5,200 for the year.
Can she stop contributing to her state 401k, and contribute 13,800 from her other job's revenue to add to the $5,200 she would contribute from her work with me? OR.. does all the deferred income you put into a 401k have to come from the employer under which you have the 401k?
I hope this makes sense.. Thanks in advance for any answers!
Submitted April 12, 2019 at 09:51AM by rqtqueenimg http://bit.ly/2GiQJzk
