As a leading provider of retirement plan services, Legend can assist your organization
with the design, implementation and maintenance of a SEP IRA retirement plan.
Eligible Employers
All employers
Eligible Employees
The employer can restrict eligibility to employees aged 21+ with three years of service and earnings of least $550 during each year
Deadline to Establish
By the tax filing deadline plus extensions
Elective Deferral Limit
None
Employer Contributions
Discretionary employer contributions of the lesser of 25% of the participant's salary or $49,000 in 2010. (non-elective only).
Taxation
Distributions are taxed when paid out to the participant
Distributions
Eligible at any time
Rollovers into Plan
Participants may roll monies from other eligible retirement accounts
Premature Penalty
A 10% penalty is applicable on distributions taken prior to age 59½
Required Minimum Distributions
A participant must begin taking distributions at the attainment of age 70½. The first
minimum distribution must be taken by April 1st of the year following the year containing
this triggering event.