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Retirement plan box checked on W-2 for part-time job

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    Retirement plan box checked on W-2 for part-time job

    Client's main job is not covered by pension plan. This job pays $100,000 per year. Client has a small part-time job that happens to have a 414h plan so the retirement box on the W-2 is checked. Client's income is over the IRA Threshold. Can client deduct IRA contribution or is the fact that the retirement box checked on the small part-time job will keep him from deducting IRA.

    #2
    If he's over the threshold for being covered by an employer plan, then he cannot deduct an IRA. Talk to him about a Roth or a backdoor Roth.

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