Plan Type

401 (k)

Safe Harbor

401 (k)

Simple 401 (k)

Simple IRA

Profit Sharing

SEP IRA

Money Purchase

Defined Benefit

412(e)(3)

Target Market

1 + Employees

I + Employees

No more than 100 employees who earned more than $5,000 in prior year

No more than 100 employees who earned more than $5,000 in prior year

Business with fluctuation earnings and self employed

Small businesses and self-employed

Business with high stable earnings and self employed

Business with stable earnings and owners close to retirement and self-employed

Business with stable earnings and owners close to retirement and self-employed

Key Feature•

Tax-deferred investing; flexibility in plan design; investment flexibility

Tax-deferred investing, no discrimination testing, investment flexibility

Tax-deferred investing, no discrimination testing, investment flexibility

Tax-deferred investing, no discrimination testing, investment flexibility

Flexible Contributions; investment flexibility

Investment flexibility

Consistent contributions; Investment flexibility

Consistent contributions;

Maximum Consistent contributions;

Contributors

Employee and optional Employer

Employee and Employer

Employee and Employer

Employee and Employer

Employer Only

Employer Only

Employer Only

Employer Only

Employer Only

Contribution Flexibility

Yes

No; possible additional employer contribution above safe harbor

No

Very limited

Yes

Yes

No; percentage established at plan set-up

Limited. Based on formula

No; Based on formula

Maximum Eligibility Requirements

Age 21 and I year of service

Age 21 and 1 year of service

Age 21 with 1 year of service

Employees earning $5,000 in current year and any 2 prior years

Age 21 with I year of service (2 years with 100% vesting

Age 21 with any service in lost 3 of 5 years

Age 21 with I year of service (2 years with 100% vesting

Age 21 with I year of service (2 years with 100% vesting

Age 21 with I year of service (2 years with 100% vesting

Maximum Annual Salary Deferral

$18,000 (2015) with $6,000 catch up contributions

$18,000 (2015) with $6,000 catch up contributions

$12,500 (2015) with $3,000 catch up contributions

$12,500 (2015) with $3,000 catch up contributions

Not Applicable

Not Applicable

Not Applicable

Not Applicable

Not Applicable

Maximum Annual Employer Contributions

25% of eligible employee compensation

3-4% safe harbor; optional additional contribution either matching or non-elective. (Total 25% of eligible contribution)

100% up to 3% match lo participants or 2% to all eligible employees

100% up to 3% match lo participants or 2% to all eligible employees

Up to 25% of eligible employee compensation; limited to $53,000 per eligible employee (2015)

25% of eligible employee compensation

Up to 25% of eligible employee compensation; limited to $53,000 per eligible employee (2015)

Amount needed to fund plan

Amount needed to fund plan

Vesting in Employer Contribution

May be graded up to 6 years or 100% other 3 years

100% immediately on Safe Harbor contributions

100% Immediately

100% Immediately

May be graded up to 6 years or 100% other 3 years

100% Immediately

May be graded up to 6 years or 100% other 3 years

May be graded up to 6 years

May be graded up to 6 years

Loans

Yes

Yes

Yes

No

Yes

No

Yes

Yes

No

When established

Anytime

Anytime with 30-day notification for new plans prior to October 1st

Prior to October 1st

Prior to October 1st

Prior lo fiscal year end

Any time prior to tax filing deadline including extension

Prior lo fiscal year end

Prior lo fiscal year end

Prior lo fiscal year end

IRS Reporting

Yes

Yes

Yes

No

Yes

No

Yes

Yes

Yes