(SIMPLE) IRA, small businesses all over the country have been taking advantage of the incredible benefit packages that the plan allows. For small businesses, the tax-advantaged savings of these retirement plans are especially attractive, providing an extra reward to employees, while also offering numerous tax advantages to employers. Here, we’ll look at the major benefits of setting up a Simple IRA for your business.

Tax Benefits

One of the primary reasons that businesses choose a Simple IRA plan is the incredible tax benefits it offers. The government offers tax incentives to both employer and employee when a Simple IRA plan is set up. Firstly, the employer is able to deduct employee contributions up to 25% of their salary, up to a maximum contribution of$12,500. Additionally, employees benefit too, since their contributions are initially tax-free, until they’re withdrawn during retirement.

Flexibility

The Simple IRA also provides businesses a great level of flexibility. This is especially helpful for companies which don’t have the employee turnover of larger businesses, or which can’t afford to match contributions. With the Simple IRA, some employer

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