I've had a SE-401K for several years which I fund via sole-prop consulting income at the maximum deferral + 25% of profits (e.g. 15500 + 25% for
2007). I also have a small C-corp that is a totally separate business with about 5 employees which currently has no retirement plan. If I establish a SIMPLE-IRA for 2008 for the C corp and participate at the maximum deferral + company match can I still contribute to the SE-401K up to the maximum levels such that the total deferral of both plans is less than the maximum 401K deferral (which is more than the IRA maximum deferral) ?
E.g. using 2007 limits If I contribute a maximum $10.5K deferral + company match for the IRA can I still contribute a $5K (15.5K - 10.5) deferral to the SE 401K +
25% profits?
Is there any dependence or interaction between the maximum IRA comany match and the 401K 25% profit sharing (this is unlikely but it doesn't hurt to confirm)?
thanks.