The Sep, Keogh, And Solo 401k – Retirement Options For The Self Employed Worker-g227

UnCategorized If you’re establishing your retirement plans as a self-employed senior who’s still years away from relaxing in your golden years, or one who’s reconsidering another career away from the conventional workplace environment, there are many savings options available to you. There are a lot of options you can choose from to help you save up money for when you actually retire. Here are quick overviews on some of these options: The SEP, or Simplified Employee Plan, doesn’t .e with considerable operation and start-up costs, making it relatively easy (and cost-effective) to establish one and manage it. Contribution limits are up to around 20-25% of your in.e or $46,000 yearly. There are no phaseout limits with the SEP. Keogh plans limit maximum contributions per year up to 20% of your annual in.e, or around $46,000 or more per year. There are no phaseout limits for a Keogh plan. It also gives the participant a good degree of flexibility, as it can be used as a defined-benefit or profit sharing plan. One slight inconvenience with a Keogh is that you’ll usually need to work with a pro to set one up, moreso if you want a plan that gives you defined benefits. The Solo 401K shares some similarities with the SEP and Keogh plan, in that the yearly contribution limit is at $46,000 for younger workers, and $51,000 if you’re fifty or older within the year you set one up. Like the last two plans, the Solo 401K also has no phaseout limits. The advantage of these types of 401Ks is the sizeable contribution limit, which can translate to lower tax bills and higher tax-deferred in.e to help build your retirement funds. Just because you’re self-employed doesn’t mean that you’re at a loss when it .es to retirement savings plans. The SEP, Keogh, and the Solo 401K are just a few of your retirement savings options as a self-employed worker or business owner who want to build financial security for your golden years. About the Author: 相关的主题文章: