A self-employed retirement plan is a tax-deferred retirement savings program for self-employed individuals. In the past, the term "Keogh plan" or "H.R. 10 plan" was used to distinguish a retirement plan established by a self-employed individual from a plan established by a corporation or other entity. However, self-employed retirement plans are now generally referred to by the name that is used for the particular type of plan, such as SEP IRA, SIMPLE IRA, SIMPLE 401(k), or self-employed 401(k) … [Read more...]
What is a SIMPLE?
There are many types of employer-sponsored retirement plans. One that may appeal to small businesses and to self-employed individuals is the savings incentive match plan for employees (SIMPLE) because, as the name implies, it is easy to set up and administer, and employers are allowed to take a tax deduction for the contributions that are made. SIMPLEs can be established by small businesses that have 100 or fewer employees (who were paid at least $5,000 or more in compensation during the … [Read more...]
Retirement Planning – Employee/individual contribution limits
Retirement Planning Employee/individual contribution limits Elective deferral limits 2024 2025 401(k) plans, 403(b) plans, 457(b) plans, and SAR-SEPs 1 [Includes Roth 401(k) and Roth 403(b) contributions] Lesser of $23,000 or 100% of participant's compensation Lesser of $23,500 or 100% of participant's compensation SIMPLE 401(k) plans and SIMPLE IRA plans1 Lesser of $16,000 or 100% of participant's compensation Lesser of $16,500 or 100% of participant's … [Read more...]
