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SEP

A Simplified Employee Pension Plan (SEP) is a business retirement plan that uses traditional individual retirement accounts as the investment vehicle. The employer contributes money into its employees' Traditional IRAs. The benefit to a SEP Plan is that the employer gets a tax deduction, and the contribution is not taxable income to the employee until a distribution is made from the IRA.

• A SEP Plan can be established for any employer with 25 or fewer employees.
• Contributions for any tax year must be made by the tax deadline (usually April 15) of the following year.
• Contributions can be accepted into any fixed-rate Certificate of Deposit, variable-rate Certificate of Deposit, savings account or Money Market savings account at CSB.
• Each employee establishes an IRA.

Fees include:

$5.00 per employee set-up fee.
$5.00 transfer fee.
$25.00 Plan Closing fee.