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Retirement Planning
Chapter 9: SEPs & SIMPLEs/2025 ELECTING LARGE EMPLOYER – EXAMPLE (2 of 2)
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Chapter Study Session

Chapter 9: SEPs & SIMPLEs

2025 ELECTING LARGE EMPLOYER – EXAMPLE (2 of 2)

01.Core Concepts

• Olivia’s SIMPLE contribution for 2025 is as follows: $17,600 Olivia’s elective deferral contribution (Olivia elected to contribute the current year maximum) $17,600 Matching contribution by GazingGlobe Co. ($600,000 x 4%; limited to $17,600) $5,100 Additional employer nonelective contribution (lesser of: 10% x $350,000 covered compensation limit, or $5,100) $40,300 2025 Total SIMPLE IRA Contribution