Which of the following is true concerning SEP IRAs?
A) SEP IRAs are difficult to set up and have high administrative costs.
B) Employees of the taxpayer cannot be included in SEP IRAs.
C) Taxpayers with a SEP IRA must contribute for their employees.
D) Taxpayers may contribute unlimited amounts to SEP IRAs.

Question

Quizplus · Accepted Answer

Taxpayers with a SEP IRA must contribute for their employees. SEP IRAs are designed for small business owners to provide retirement benefits for themselves and their employees. The contribution limit is relatively high, but there are limits to how much you can put in based on your income. SEP IRAs are relatively easy and inexpensive to set up and maintain.

Which of the Following Is True Concerning SEP IRAs