Simplified Employee Pension - SEP (Simplified Employee Pension IRA)

What is a 'Simplified Employee Pension - SEP (Simplified Employee Pension IRA)'

A simplified employee pension (SEP) is a retirement plan that an employer or self-employed individuals can establish. The employer is allowed a tax deduction for contributions made to the SEP plan and makes contributions to each eligible employee's SEP IRA on a discretionary basis.

BREAKING DOWN 'Simplified Employee Pension - SEP (Simplified Employee Pension IRA)'

Contributions to SEP IRAs are immediately 100% vested, and the IRA owner directs the investments.

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RELATED FAQS
  1. What are the main differences between a Simplified Employee Pension (SEP) IRA and ...

    Learn about the main difference between a SEP IRA and a SIMPLE IRA to better understand the annual investing requirements ... Read Answer >>
  2. What are the Simplified Employee Pension (SEP) IRA contribution limits?

    Discover the 2014 employers' SEP IRA eligible contribution limits for employees and those who are self-employed. These limits ... Read Answer >>
  3. Is a Simplified Employee Pension (SEP) IRA tax deductible?

    Learn everything you need to know about your SEP IRA, including the benefits to employers and whether or not a SEP IRA is ... Read Answer >>
  4. When are Simplified Employee Pension (SEP) IRA contributions due?

    Read this article to learn more about the April 15 SEP IRA contribution deadline date and how tax-filing extensions affect ... Read Answer >>
  5. Who is eligible to obtain a Simplified Employee Pension (SEP) IRA?

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  6. What are the main differences between a Simplified Employee Pension (SEP) IRA and ...

    Discover the difference between a simplified employee pension IRA and a traditional IRA so that you can choose the best retirement ... Read Answer >>
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