SEP IRA
SEP IRA – Simplified Employee Pension
A SEP IRA is a retirement plan that an employer can establish for themselves or their employees. Businesses of any size can set up and contribute directly to the individual’s SEP-IRA account.
- Employer established and funded simplified IRA
- Employer must contribute equal percentage for all eligible employees up to 25% of their compensation
- Contributions are not required annually
- Must be 21 years old and have been in your employment at least 3 of the previous 5 years.
- Business owners may establish for their own benefit
- Tax-deferred growth, Tax-deductible contributions
- All distribution rules of a Traditional IRA apply
- Competitive rates
SEP Contribution Limits
Year
Standard Contribution
2022
$61,000
2023
$66,000
2024 and on
Indexed with Inflation
