Simplified Employee Pension Plans
Contribute to your employees' retirement goals and earn their trust and respect. A Simplified Employee Pension plan is for businesses of any size, as well as self-employed individuals.
Employees have the satisfaction of knowing they have complete ownership of their SEP IRA money. It also makes good business sense, as all employer contributions are tax-deductible.
- Ideal for businesses of any size or self-employed individuals
- Gain the respect of your employees
- Help them reach their retirement savings goals
- Employee always has complete ownership of all SEP IRA money
- Earn competitive interest on entire balance
- Contributions are tax-deductible (your business pays no taxes on earnings)
- Contributions made only by the employer
- Only self-employed may make contributions on their own behalf
- Little to no documents to file with the government
- Inexpensive to set up and operate
- Flexible annual contributions — good plan if cash flow is unpredictable
- Can contribute up to 25% of each participant's annual compensation (earned income)
- Or, up to the maximum allowable limit for current plan year, whichever is less*
- Must contribute equally for all employees
- Employee must first establish a traditional IRA, in which the employer will deposit SEP contributions
- $500 minimum deposit to open
*Consult a tax advisor.