Designed for small businesses and the self-employed, SEP plans establish for each participant, an IRA account which holds employer contributions. They can be used by partnerships, corporations, tax-exempt organizations and sole proprietors.

SEP plans offer many of the tax benefits of qualified plans, but they have fewer administrative expenses associated with them.

SEP contributions are discretionary and employers can contribute as much as 25% of each eligible employee’s pay, though the participants themselves are not allowed to make contributions. All employer contributions are made to IRAs for the benefit of the eligible employees who are fully and immediately vested. Contributions and earnings grow tax-deferred until the participant withdraws the money.

Benefit Design will help you determine if a SEP plan is appropriate for your company.

For a no-obligation quote, use our online Quote Forms under Resources or call 480.998.0096.