As some NSA’s here may know, most of my time is spent with tax law - representation, research, remediation and other complex matters. I write briefs, petitions and appeals (among other things) for tax and probate matters.
I am not trying to self-promote. Since my tax practice is primarily representation and litigation, we do not accept new clients solely for tax preparation unless the returns are exceedingly complex (e.g.: over 1,500 pages, multi-national, etc…).
A couple of things:
Only the statutory fees (i.e.: the fee set by state law for a notary act, page or document) are exempt. For example, if one is paid $100 for a closing with 5 acknowledgements, each capped by state law at $2, only $10 from that closing is exempt from S/E tax, but not income tax. The remaining $90 is subject to both income and S/E tax. This NotaryCafe link has a decent discussion of the self-employment tax issue.
A number of retirement options are available, including:
Solo 401(k) - For 2021 contributions, the employee maximum is $19,500 (generally due by 12/31/21), and the employer’s maximum is $38,500 (generally due by return due date) for a total of $58,000., The limits for 2022 increase to $61,000. Employer contribution limited to 25% of eligible compensation.
SEP IRA - A defined-contribution plan, akin to an employer-funded pension. Limited to an employer contribution equivalent to 25% of compensation, maxing out at the $58,000 and $61,000 for 2021 and 2022, respectively.
Traditional IRA - Limited to $6,000 and $7,000 for 2021 and 2022, respectively. Contributions are made by taxpayer and generally reduce taxable income.
There are many other retirement options, which can be mixed, matched and modified as the taxpayer sees fit. There are income and total contribution limitations, as well as a whole bevy of administrative deadlines; an investment or tax professional can inform you of the options and their requirements, the former often without cost.
There’s been a whole lot of legislation passed changing deadlines and providing other relief, primarily dealing with COVID-19; I generally re-check each time the issue comes up for a client.
While a tax advisor is generally the best source of current information, investment professionals are generally kept current on these tax law changes by their companies.
Hopefully, this helps.
Be well, God bless and stay healthy.
HWB.