Retirement Plan Options

Not sure what plan is best for your firm? Contact us for guidance.

        SEP SIMPLE Profit
Sharing
Plan
        401k
Maximum employee contribution
through age 49
Not allowed $13,000 Not applicable $19,000
Maximum employee contribution
age 50+
Not allowed $16,000 Not applicable $25,000
Maximum employer contribution
through age 49
$56,000 $13,000 $56,000 $56,000
Maximum employer contribution
age 50+
$56,000 $16,000 $62,000 $62,000
Maximum combined contributions through age 49 $56,000 $26,000 $56,000 $56,000
Maximum combined contributions age 50+ $56,000 $32,000 $62,000 $62,000
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