How a SEP IRA Slashes Taxes for Freelancers and Solopreneurs

Lucas and Luna break down the SEP IRA — a tax-deferred retirement account that allows self-employed individuals to contribute up to 25% of net earnings, with 2026 contribution limits reaching $69,000. Using the example of a freelance graphic designer earning $150,000, they show how a 20% contribution reduces taxable income by $30,000, saving roughly $7,400 in federal income tax plus self-employment tax. They compare SEP IRAs to Solo 401(k)s and SIMPLE IRAs, discuss eligibility nuances for part-time business owners, and explain why the SEP IRA's higher contribution ceiling makes it ideal for high earners with variable income. A practical guide for freelancers, consultants, and gig workers looking to maximize tax savings while building retirement wealth. #SEPIRA #SelfEmployedTax #FreelancerTaxTips #RetirementPlanning #TaxDeductions #Solo401k #SIMPLEIRA #ContributionLimits2026 #SelfEmploymentTax #TaxStrategy #SmallBusinessOwner #FinancialIndependence #TaxSavings #FreelanceFinance #BusinessPodcast #FexingoBusiness #TheTaxStrategyPodcast #Podcast Keep every episode free: buymeacoffee.com/fexingo