SIMPLE IRAs » Byrne Asset Management LLC

Why Choose a SIMPLE IRA?

SIMPLE IRAs allow employers to encourage retirement savings at low cost, with employees funding accounts through convenient payroll deductions they control.

Employers must match contributions using one of two options: either match up to 3% of employee contributions, or contribute 2% of compensation for all eligible participants regardless of employee participation.

Byrne Asset helps businesses implement matching strategies, enhance employee financial wellness, and navigate these retirement savings options with confidence.

Key Attributes of SIMPLE IRAs

Employee contributions (2024): Optional, up to $16,000 through age 49, up to $19,500 if 50 or older
Employer contributions: Required, either 2% of compensation or matching up to 3% of employee contributions
Maximum total (2024): Employee plus employer contributions cannot exceed $69,000
Administration: Minimal — assets held in separate accounts owned by each participant
Funding method: Employees fund accounts via payroll deductions they choose

What to consider: SIMPLE IRAs offer administrative ease and tax advantages for employees at low cost to employers. However, they have lower contribution limits than SEP IRAs or 401k plans. Required minimum distributions must begin at age 72, even if the employee is still working.