SEP-IRAsA Simplified Employee Pension Plan, or SEP-IRA, is a tax advantaged retirement plan that allows employers to make pretax contributions to their own or their employees' accounts. Earnings in a SEP-IRA grow tax-deferred. Contributions to a SEP-IRA do not impact a participant's ability to contribute to a traditional or Roth IRA.
A SEP-IRA provides the benefits of a company-sponsored retirement program without the administrative expense, government reporting requirements, and complexity associated with many other types of retirement plans. These plans were specifically designed for:
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