Winston cantrell earns $70,000 annually as business professor at greenlaw university. winston is a participant in the university’s defined benefit plan. five years ago, he began doing some management and marketing consulting for small business owners. he now earns $35,000 a year as a self-employed person in addition to his university income. winston is considering adopting a money purchase keogh for this self-employed business. as his financial advisor, you tell winston:
a. he cannot establish a keogh plan since he has a qualified plan in the job where he earns the most
b. he can establish a keogh plan and deduct up to 25% of his total earnings
c. he can establish a keogh plan and deduct up to 25% of his gross self-employment earnings
d. he can established a keogh plan and deduct up to the statutory limit as counted by his total income
e. he can establish a keogh plan and deduct up to 25% of earned income from self-employment