Can I Contribute To Two Simple IRA Plans With Two Jobs?

By
The Investopedia Team
Investopedia logo
Full Bio

Investopedia contributors come from a range of backgrounds, and over 24 years there have been thousands of expert writers and editors who have contributed.

Learn about our editorial policies
Updated February 17, 2023
Reviewed by
Ebony Howard
Ebony Howard
Reviewed by Ebony Howard
Full Bio
Ebony Howard is a certified public accountant and a QuickBooks ProAdvisor tax expert. She has been in the accounting, audit, and tax profession for more than 13 years, working with individuals and a variety of companies in the health care, banking, and accounting industries.
Learn about our Financial Review Board
Fact checked by Kirsten Rohrs Schmitt

If there is no relationship between the two companies—the only link is that you, the employee, work for both of them—then yes, you can make salary deferral contributions to both, up to an aggregate amount of $22,500 per year for 2023, with no more than $15,500 to one of the SIMPLE IRAs for 2023).

Maximum Contributions

The maximum aggregate contribution for an individual who reaches age 50 by the end of the year is $27,000 for 2022, and $30,000 for 2023. An individual who participates in multiple retirement plans can defer no more than $22,500 for 2023 (regardless of the number of plans in which they participate) plus catch-up contributions of $7,500.

On the other hand, if the two companies are affiliated or related in any way—if there is anyone party that has ownership of both companies, whether in part or 100% ownership—or if there is any relationship that would constitute an affiliated service group, then the maximum amount that the individual can defer to both SIMPLEs may be limited to $15,500 in 2023.

Article Sources
Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy.

  1. Internal Revenue Service. "Retirement Topics - SIMPLE IRA Contribution Limits."

  2. Internal Revenue Service. "How Much Salary Can You Defer If You're Eligible for More than One Retirement Plan?"

  3. Internal Revenue Service. "401(k) Limit Increases to $22,500 for 2023, IRA Limit Rises to $6,500."

  4. Internal Revenue Service. "Fixing Common Plan Mistakes - SIMPLE IRA Sponsor with a Related Business."

Take the Next Step to Invest
×
The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace.
Service
Name
Description