Question

Tony’s a specialty deli, has a SIMPLE plan. They would like to provide more retirement benefits to their employees. Which plan can they adopt in addition to the SIMPLE plan?

Money Purchase Plan |
||

SEP |
||

403(b) |
||

None of the above |

Answer #1

The Correct option is None of the above

If tony has a simple plan, then he can't take any other plans in combined with SIMPLE plan, The SIMPLE Plan which refers to "Saving Incentive Match plan for employees" is mostly used by the business owners who are very small in size subject to less than 100 people.

The SIMPLE plan is beneficial for cost savings and the employer gets the tax benefit on the emploee contribution they make which makes them more affordable to small business owners.

a Straight Defined Benefit Plans, a Target Benefit Plans, an
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or a Money Purchase Pension Plan.
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