Look out for your employees — and yourself. Our SEP and SIMPLE IRAs make it easy to save for retirement.
Key Features
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Competitive Interest
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Tax Advantages1
SEP IRAs
- Ideal for businesses of any size or self-employed individuals
- Gain the respect of your employees
- Help employees 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 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
SIMPLE IRAs
- Available to any small business — generally with 100 or fewer employees
- Gain the respect of your employees
- Employees have the option to make self-contributions
- Help employees reach their retirement savings goals
- Employee always has complete ownership of all SIMPLE IRA money
- Earns a competitive interest rate
- Employer must not have any other retirement plan
- Minimal paperwork necessary; no filing requirements
- Inexpensive to set up and operate
- Lower contribution limits than some other retirement options
- Employees share responsibility of growing their retirement
- Each year, employer is required to contribute:
- Matching contribution up to 3% of compensation, or
- 2% non-elective contribution for each eligible employee
1Consult a tax advisor.