🏦 Self-Employed Retirement Calculator
Project your retirement savings, compare account types (SEP-IRA, Solo 401k, Roth IRA), and see how your contributions grow over time.
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Your Retirement Inputs
Current Situation
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Annual Contributions
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Max: 25% of net income, up to $70,000 (2025)
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Max: $23,500 employee deferral ($31,000 if 50+)
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Max: $7,000/year ($8,000 if 50+) in 2025
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Growth Assumptions
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Historical S&P 500 avg: ~7% inflation-adjusted, 10% nominal.
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Used to calculate your SEP-IRA maximum contribution.
Projected Balance at Retirement
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Enter your details to project retirement savings
Enter your age, contributions, and expected return to see your retirement projection.
Projections are estimates. Actual returns vary. Contribution limits may change annually. Consult a financial advisor for personalized advice.
Retirement Account Comparison for Self-Employed (2025)
SEP-IRA vs Solo 401(k) vs Roth IRA
| Feature | SEP-IRA | Solo 401(k) | Roth IRA |
|---|---|---|---|
| 2025 Max Contribution | $70,000 (25% of net income) | $70,000 total ($23,500 employee deferral) | $7,000 ($8,000 if 50+) |
| Tax Treatment | Pre-tax (reduces AGI) | Pre-tax or Roth option | Post-tax (tax-free growth) |
| Deadline to Open | Tax return due date (+ extension) | December 31 of tax year | Tax return due date |
| Complexity | Simple — easy to open | More paperwork; Form 5500 if assets > $250k | Very simple |
| Loans Allowed | No | Yes (up to 50% of balance) | Yes (contributions only) |
| Income Limit | None | None | Phase-out starts at $150k (single), $236k (MFJ) |
| Best For | High earners who want simplicity | Maximum contributions + employee benefits | Those expecting higher taxes in retirement |
Frequently Asked Questions
Generally no — you can only have one or the other (not both) for the same business. However, you can have a Solo 401(k) for your self-employment income AND contribute to a regular IRA or Roth IRA separately. If you have multiple businesses, the rules get more complex — consult a tax advisor.
SEP-IRA and traditional Solo 401(k) contributions are tax-deductible — they reduce your AGI directly. However, they do NOT reduce your SE tax base (SE tax is calculated before these deductions). A $10,000 SEP-IRA contribution at a 30% total tax rate saves you about $3,000 in income taxes. They do NOT save on SE tax.
A common rule of thumb is 15% of gross income. But freelancers have no employer match and may have higher tax burdens — many financial advisors recommend 20–25% for self-employed. Use the calculator above to work backward: decide what monthly income you want in retirement, estimate a safe withdrawal rate (4% rule), and calculate the portfolio size you need.
Quarterly Tax Calculator
Estimate your quarterly payments with retirement deductions factored in.
Deduction Finder
Find all your eligible deductions, including retirement.
Net Income Calculator
See your take-home after retirement contributions and taxes.
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