Definition of "Simplified Employee Pension (SEP)"

A type of qualified pension plan for small businesses (25 or fewer employees) that is funded by an employer or a self-employed individual. The plan is immediately vested with maximum contribution of 15% of compensation or $30,000 whichever is the lesser. Employers qualify for a tax deduction for their own contributions as well as for contributions they make to employees' accounts.

For expert help with your annuity call toll-free 866-866-1999
© Copyright 2004 - 2012 Total Return Annuities
Use This Free
Instant Annuity Calculator
Select your state, age, and gender and enter a dollar amount
Optional - Enter Joint Annuity info.
Enter a Premium Amount
and Click to Calculate
Need help? call 1-866-866-1999