IMPORTANT: The SECURE 2.0 Act has made changes to retirement plans so that in the future the amount and/or type of contribution to your plan may be affected.
This calculator assumes you are a sole proprietor, a partner in a partnership, or the owner of a small business/corporation where your income is derived from Schedule C, C-EZ, Schedule K1, or form W2, and that you are eligible to sponsor your own small business retirement plan.
If you have more than one source of income or participate in another salary deferral plan or sponsor and/or contribute to another retirement plan, this calculations will not be accurate. You are advised to consult with your tax advisor or accountant.
The SIMPLE IRA calculation assumes the employer has chosen to do a 3% match and the employee is deferring the maximum possible.
For SIMPLE IRAs there are other contribution options available to the employer, including a non-elective contribution that is not included in this calculator. Refer to your SIMPLE IRA plan document for more details.
This is not intended to imply you must contribute the maximum.
The 401(k) contribution assumes the maximum deferral contribution possible. This is not intended to imply you must contribute the maximum.
The calculations are done in whole dollar amounts and will round down in the event of a non-whole number result.
Note: The Small Business Plan Contribution Calculator is intended to serve as a guide and an educational tool only, not investment or tax advice. Your circumstances are unique and you should consult your tax advisor.
Because your circumstances will probably change over time, it is a good idea to review your financial strategy periodically to be sure it continues to fit your situation.