SEP-IRA if covered by employer?
Next year, I will have $70,000 in income from my salaried job. We have a (terrible) employer sponsored retirement plan, so I cannot tax-deduct my IRA contributions.
However, for the first time, next year I will also have $15,000 in outside income, self-employment (not incorporated). Can I contribute to a traditional SEP-IRA from that income, and deduct the contribution from that income? Or am I still disqualified because of the employer plan?
I'd like to reduce the tax liability on that self-employment income as much as possible and an IRA seems like a great way, but not if my employer plan won't allow me to deduct it.