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Investments glossary

Simplified Employee Pension (SEP)


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The GOLD in Golden years was identified by the sight impaired. It is actually Rust!!

— Jenny Flowers Strother

A simplified employee pension (SEP or SEP IRA) is a retirement plan that an employer or self-employed individual can establish. The employer is allowed a tax deduction for contributions made to the SEP plan and makes contributions to each eligible employee’s SEP IRA on a discretionary basis.1


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