Money Purchase Plan
Retirement plan with fixed-percentage employer contributions
- For businesses with predictable cash flows
- Offers tax-deferred growth potential
- Often offered in combination with a Profit Sharing Plan
up to 25% of compensation or $53,000
deadline to establish the plan
Available for self-employed individuals or owners of small businesses. Employees are eligible when they are age 21 and have worked at the company for at least one year (or two years if the plan does not have a vesting sechedule)
Budgeting made easy
A required fixed annual contribution for business owners and employees helps make budgeting for a retirement plan easy
Loans are allowed
Ability to borrow against the account
Vesting schedules are permitted
Establish a vesting schedule to determine when the contributions in a participant’s account fully belong to them
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Explore similar accounts
Individual and Roth Individual 401(k)
Retirement savings for the self-employed
This plan gives self-employed individuals with no employees other than a spouse the ability to maximize their retirement savings.
A retirement plan similar to a 401(k)
A SIMPLE IRA is an easy, inexpensive plan for businesses with less than 100 employees.
Profit Sharing Plan
A flexible plan for small businesses
This full-featured plan lets small business employers make discretionary deductible contributions to their employees' retirement savings.