Tax Tip #196
What You Might Have in Common with Caitlin Clark
Today’s quiz: What do approximately half of working Americans (according to marketwatch.com) have in common with basketball star Caitlin Clark?
Answer: They have “side hustles” to supplement their income.
In most cases, the full-time job earns more than the side gig. However, that is not the case for Miss Clark. Her WNBA salary is $76,000, but her side gig is $3.5 million (she signed an eight-year $28 million deal with Nike). One easy tax savings opportunity for Miss Clark is to contribute $69,000 to a pre-tax retirement plan. There are other plans that allow her to contribute even more. For the average American’s side gig income, this will more than suffice. If you have a side hustle like Miss Clark and want to take advantage of contributing to a retirement plan, contact a Goldstein & Loggia team member for assistance.
