Question: A self-employed individual sets up a SEP IRA for himself and his employees. Under the plan the ER makes a contribution equal to 10% of

A self-employed individual sets up a SEP IRA for himself and his employees. Under the plan the ER makes a contribution equal to 10% of covered compensation for each employee. The self-employed individual has business income after the deduction for social security taxes equal to $120,000. What is the plans contribution for the self-employed individual?

		$11.909
		$13,500
		$10,909
		$12,000

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