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SEP | SIMPLE | Profit Sharing Plan |
401k | |
Maximum employee contribution through age 49 |
Not allowed | $13,500 | Not applicable | $19,500 |
Maximum employee contribution age 50+ |
Not allowed | $16,500 | Not applicable | $26,000 |
Maximum employer contribution through age 49 |
$57,000 | $13,500 | $57,000 | $57,000 |
Maximum employer contribution age 50+ |
$57,000 | $16,500 | $63,500 | $63,500 |
Maximum combined contributions through age 49 | $57,000 | $27,000 | $57,000 | $57,000 |
Maximum combined contributions age 50+ | $57,000 | $33,000 | $63,500 | $63,500 |
Other maximum that supersedes the above |
25% of compensation | Employer can match up to 3% of compensation |
Firm may not deduct more than 25% of total payroll |
100% of employee deferrals |
Are employer contributions required? |
No | Yes | No | No |
Administration | Practically none: basically an IRA for the owner |
Minimal: akin to a series of IRA accounts |
IRS form 5500 required plus record keeping for vesting and other items |
IRS form 5500 required plus record keeping for vesting and other items |