SEP IRA Contribution Calculator
Self-employed? A SEP IRA lets you save up to 25% of your net earnings, capped at $72,000 for 2026 — more than a solo 401(k) employee deferral alone. Enter your profit to see your limit.
How to use this calculator
- Enter net self-employment profit.
- Your results appear instantly below and update as you change the numbers.
How this calculator works
SEP contributions are calculated on net earnings after the deductible half of self-employment tax: profit minus half of SE tax, then 25% of that, capped at $72,000 for 2026. You contribute as the employer, and the contribution is deductible.
Frequently asked questions
SEP IRA or solo 401(k)?
Solo 401(k) allows up to $24,500 of employee deferrals plus the same ~25% profit-sharing, so it can shelter more total at lower incomes. SEP IRA is simpler to administer and works when you have no employees or only eligible ones.
What is the 2026 SEP limit?
The lesser of 25% of net earnings (after half of self-employment tax) or $72,000. Contributions must be made by your tax-filing deadline, including extensions.
Disclaimer: Results are estimates for general information only and do not constitute financial, tax, or legal advice. Figures reflect 2026 rules and may change. Always confirm current limits and consult a qualified professional before making decisions. Official figures: IRS.gov · 2026 limits per IRS tax inflation adjustments.