Kathy Is 48 Years of Age and Self-Employed

question 40

Multiple Choice

Kathy is 48 years of age and self-employed. During 2020 she reported $534,000 of revenues and $106,800 of expenses relating to her self-employment activities. If Kathy has no other retirement accounts in her name, what is the maximum amount she can contribute to an individual 401(k) ?

• A)$57,000.
• B)$63,500.
• C)$83,088.
• D)$19,500.

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