Retirement Flashcards
1
Q
What are the qualifications for a SEP
A
Age 21, work three of the last five years, receive at least 650 of comp in the year
2
Q
Who funds a SEP
A
Employer funded only. Limited to lesser of 25% of comp or 61,000. Comp only goes up to 305K limit.
3
Q
What’s the definition of a key employee
A
Owns 5% ir more of the business, is an officer with comp greater than 200k, or owns greater than 1% of the business and has comp greater than 150k
4
Q
What are the required qualifications to join a plan
A
Age 21, at least one year on the job, and working 1000+ hours
