My wife and I have our own business. We are now co-owners of the business. We have 1 SEP IRA in her name but want to clarify that we are contributing correctly before we set up a second SEP IRA in my name. Do we contribute 25% of the W2 line 1 "Wages, tips, etc"?
We have her salary at only $40,000 so that would mean we can contribute $10,000. Can we also contribute $6,000 to a Roth IRA? Should we raise our salaries if we want to contribute more for retirement?