SIMPLE IRA Plans
A SIMPLE IRA Plan (Savings Incentive Match Plan for Employees Individual Retirement Account) is a type of retirement savings plan designed for small businesses with 100 or fewer employees. It allows both employees and employers to contribute to individual retirement accounts set up for employees.
In a SIMPLE IRA, employees can make pre-tax contributions through salary deferrals, and employers are required to either match employee contributions up to a certain percentage or make a fixed contribution for all eligible employees. This plan is relatively easy to set up and administer compared to other retirement plans, making it an attractive option for small businesses looking to provide retirement benefits to their employees.
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