Employer Plan Overview.xls

	B	C	D	E	G	H	I	J	K	M	N
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2	IRA-Based Plans				Defined Contribution Plans					Defined Benefit Plans
3		Payroll Deduction IRA	SEP	Simple IRA Plan		Profit Sharing	Safe Harbor 401(k)	Automatic Enrollment 401(k)	Traditional 401(k)	Key Advantage	Provides a fixed, pre-established benefit for employees.
4	Key Advantage	Easy to set up and maintain.	Easy to set up and maintain.	Salary reduction plan with little administrative paperwork.	Key Advantage	Permits employer to make large contributions for employees.	Permits high level of salary deferrals by employees without annual nondiscrimination testing.	Provides high level of participation and permits high level of salary deferrals by employees. Also safe harbor relief for default investments.	Permits high level of salary deferrals by employees.	Employer Eligibility	Any employer with one or more employees.
5	Employer Eligibility	Any employer with one or more employees.	Any employer with one or more employees.	Any employer with 100 or fewer employees that does not currently maintain another retirement plan.	Employer Eligibility	Any employer with one or more employees.	Any employer with one or more employees.	Any employer with one or more employees.	Any employer with one or more employees.	Employer's Role	No model form to establish this plan. Advice from a financial institution or employee benefit adviser would be necessary. Must file annual Form 5500. An actuary must determine annual contributions.
6	Employer's Role	Arrange for employees to make payroll deduction contributions. Transmit contributions for employees to IRA. No annual filing requirement for employer.	May use IRS Form 5305-SEP to set up the plan. No annual filing requirement for employer.	May use IRS Forms 5304-SIMPLE or 5305-SIMPLE to set up the plan. No annual filing requirement for employer. Bank or financial institution handles most of the paperwork.	Employer's Role	No model form to establish this plan. May need advice from a financial institution or employee benefit adviser. A minimum amount of employer contributions is required. Must file annual Form 5500.	No model form to establish this plan. May need advice from a financial institution or employee benefit adviser. A minimum amount of employer contributions is required. Must file annual Form 5500.	No model form to establish this plan. May need advice from a financial institution or employee benefit adviser. Must file annual Form 5500. May require annual nondiscrimination testing to ensure that plan does not discriminate in favor of highly compensated employees.	No model form to establish this plan. May need advice from a financial institution or employee benefit adviser. Must file annual Form 5500. Requires annual nondiscrimination testing to ensure that plan does not discriminate in favor of highly compensated employees.	Contributors to the Plan	Primarily funded by employer.
7	Contributors to the Plan	Employee contributions remitted through payroll deduction.	Employer contributions only.	Employee salary reduction contributions and employer contributions.	Contributors to the Plan	Annual employer contribution is discretionary.	Employee salary reduction contributions and employer contributions.	Employee salary reduction contributions and maybe employer contributions.	Employee salary reduction contributions and maybe employer contributions.	Maximum Annual Contribution (per participant)	Annually determined contribution.
8	Maximum Annual Contribution (per participant)	$5,000 for 2012 and $5,500 for 2013. Participants age 50 or over can make additional contributions up to $1,000.	Up to 25% of compensation(1) but no more than $50,000 for 2012 and $51,000 for 2013.	Employee:$11,500 in 2012 and $12,000 in 2013. Participants age 50 or over can make additional contributions up to $2,500..	Maximum Annual Contribution (per participant)	Up to the lesser of 100% of compensation(1) or $50,000 for 2012 and $51,000 for 2013. Employer can deduct amounts that do not exceed 25% of aggregate compensation for all participants.	Employee: $17,000 in 2012 and $17,500 in 2013. Participants age 50 or over can make additional contributions up to $5,500.	Employee: $17,000 in 2012 and $17,500 in 2013. Participants age 50 or over can make additional contributions up to $5,500.	Employee: $17,000 in 2012 and $17,500 in 2013. Participants age 50 or over can make additional contributions up to $5,500.	See www.irs.gov/retirement for annual updates.	Annually determined contribution.
9	See www.irs.gov/retirement for annual updates.				See www.irs.gov/retirement for annual updates.					Contributor's Options	Employer generally required to make contribution as set by plan terms.
10				Employer:Either match employee contributions 100% of first 3% of compensation (can be reduced to as low as 1% in any 2 out of 5 yrs.); or contribute 2% of each eligible employee's compensation.(2)			Employer/Employee Combined: Up to the lesser of 100% of compensation(1) or $50,000 for 2012 and $51,000 for 2013. Employer can deduct (1) amounts that do not exceed 25% of aggregate compensation for all participants, and (2) all salary reduction contributions.	Employer/Employee Combined: Up to the lesser of 100% of compensation(1) or $50,000 for 2012 ($51,000 for 2013).. Employer can deduct (1) amounts that do not exceed 25% of aggregate compensation for all participants, and (2) all salary reduction contributions.	Employer/Employee Combined: Up to the lesser of 100% of compensation(1) or $50,000 for 2012 and $51,000 for 2013. Employer can deduct (1) amounts that do not exceed 25% of aggregate compensation for all participants, and (2) all salary reduction contributions.	Minimum Employee Coverage Requirements	Generally, must be offered to all employees at least 21 years of age who worked at least 1,000 hours in a previous year.
11	Contributor's Options	Employee can decide how much to contribute at any time.	Employer can decide whether to make contributions year-to-year.	Employee can decide how much to contribute. Employer must make matching contributions or contribute 2% of each employee's compensation.	Contributor's Options	Employer makes contribution as set by plan terms.	Employee can decide how much to contribute based on a salary reduction agreement. The employer must make either specified matching contributions or a 3% contribution to all participants.	Employees, unless they opt otherwise, must make salary reduction contributions specified by the employer. The employer can make additional contributions, including matching contributions as set by plan terms.	Employee can decide how much to contribute based on a salary reduction agreement. The employer can make additional contributions, including matching contributions as set by plan terms.	Withdrawals, Loans and Payments	Payment of benefits after a specified event occurs (e.g. retirement, plan termination, etc.). Plan may permit loans; early withdrawals subject to an additional tax.
12	Minimum Employee Coverage Requirements	There is no requirement. Can be made available to any employee.	Must be offered to all employees who are at least 21 years of age, employed by the employer for 3 of the last 5 years and had compensation of $550 for 2012 and for 2013.	Must be offered to all employees who have earned income of at least $5,000 in any prior 2 years, and are reasonably expected to earn at least $5,000 in the current year.	Minimum Employee Coverage Requirements	Generally, must be offered to all employees at least 21 years of age who worked at least 1,000 hours in a previous year.	Generally, must be offered to all employees at least 21 years of age who worked at least 1,000 hours in a previous year.	Generally, must be offered to all employees at least 21 years of age who worked at least 1,000 hours in a previous year.	Generally, must be offered to all employees at least 21 years of age who worked at least 1,000 hours in a previous year.	Vesting	May vest over time according to plan terms.
13	Withdrawals, Loans and Payments	Withdrawals permitted anytime subject to federal income taxes; early withdrawals subject to an additional tax (special rules apply to Roth IRAs).	Withdrawals permitted anytime subject to federal income taxes, early withdrawals subject to an additional tax.	Withdrawals permitted anytime subject to federal income taxes, early withdrawals subject to an additional tax.	Withdrawals, Loans and Payments	Withdrawals permitted after a specified event occurs (e.g., retirement, plan termination, etc.) subject to federal income taxes. Plan may permit loans and hardship withdrawals; early withdrawals subject to an additional tax.	Withdrawals permitted after a specified event occurs (e.g., retirement, plan termination, etc.) subject to federal income taxes. Plan may permit loans and hardship withdrawals; early withdrawals subject to an additional tax.	Withdrawals permitted after a specified event occurs (e.g., retirement, plan termination, etc.) subject to federal income taxes. Plan may permit loans and hardship withdrawals; early withdrawals subject to an additional tax.	Withdrawals permitted after a specified event occurs (e.g., retirement, plan termination, etc.) subject to federal income taxes. Plan may permit loans and hardship withdrawals; early withdrawals subject to an additional tax.
14	Vesting	Contributions are immediately 100% vested.	Contributions are immediately 100% vested.	Employee salary reduction contributions and employer contributions are immediately 100% vested.	Vesting	May vest over time according to plan terms.	Employee salary reduction contributions and most employer contributions are immediately 100% vested. Some employer contributions may vest over time according to plan terms.	Employee salary reduction contributions are immediately 100% vested. Employer contributions may vest over time according to plan terms.	Employee salary reduction contributions are immediately 100% vested. Employer contributions may vest over time according to plan terms.
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