SIMPLE IRA
Savings Incentive Match Plan For Employees
- Employers must contribute annually
- Employees can contribute $13,500
- Catch up contributions allowed
For small companies
The Savings Incentive Match Plan For Employees, or SIMPLE IRA, could be a great choice if you want to contribute to a retirement plan and you have a small company – fewer than 100 employees.
- An employee may choose to contribute, but an employer must contribute annually.
- An employee can contribute $13,500 under age 50
- An employee can contribute $16,500 age 50 and over
Employer can match each employee’s contributions dollar for dollar, up to 3% of employee’s compensation.
Best thing about SIMPLE is the simplicity.