|
McLeod County, MN | Thanks for all the advice and well wishes. I have to talk with the guy running my SEP yet, but I am really leaning towards a $10,000 contribution after listening to everything you fine people had to say so I will at least be partially correct. I like the advice about paying the tax now and get it over with cause God knows what they will be down the road. I put 30k into the SEP last year and I will put in 10k this year. My wife is 32 and has about $135k in her 401k from the hospital. I have zero employees, only subcontractors. I'm 38 years old and just started saving last year as I was busy trying to farm and buy machinery all the other years. Looks like I really need to look into this self-employeed directed 401k as a way to diversify in 2019. Hopefully I will have another strong year. I have a very strong cash position set aside to buy land because I paid a mountain of tax the last two years just so I would have cash. I would like to make a couple of upgrades in the equipment this year and purchases a few "new" to me items so I am hoping to be very little tax even if I make 100k+ this year (JD 3020 or 4010 or 4020), new auger, and upgrade my gravity boxes to a pair of 600 bushel wagons. I figure all of those will really hold their value.
I have a very narrow area that I am trying to buy land in cause it presents the most opportunity for expansion in the coming years. Not to mention the wife wants to keep the kids in the same school district. Several 65-75+ operators in my back yard with beautiful farms and I have great relationships with all of them. A few have expressed the, "when I quit," to me so I have been patiently waiting. My only real requirement is I want to be able to pattern tile the ground and we have very poor drainage infrastructure in the area. Really hard to get a quality outlet. Prices for the area are quite reasonable right now. | |
|
SEP IRA/ Tax question
