Compare small business retirement plans featuring Vanguard investments
Every small business is different, and retirement plans are not one-size-fits-all. Compare SEP IRA, SIMPLE IRA, and Individual(k) plans side by side to see how they work, what they cost, and which may fit your goals.
Explore your options
A flexible, employer-funded plan.
Employer contributions only
You can change how much you contribute each year
Simple to manage
An easy-to-manage plan with employee participation.
Employees can contribute
Employer contributions are required
Straightforward to set up and maintain
Higher savings potential for owner-only businesses.
Employee and employer contributions
Higher combined contribution limits
Designed for businesses with no employees (other than a spouse)
A flexible, employer-funded plan.
Employer contributions only
You can change how much you contribute each year
Simple to manage
An easy-to-manage plan with employee participation.
Employees can contribute
Employer contributions are required
Straightforward to set up and maintain
Higher savings potential for owner-only businesses.
Employee and employer contributions
Higher combined contribution limits
Designed for businesses with no employees (other than a spouse)
Compare plan features
See how each plan stacks up across contributions, costs, and flexibility.
Plan features | SEP IRA | SIMPLE IRA | Individual(k) |
|---|---|---|---|
Employer size | Any size | Up to 100 employees | Any size |
Who contributes | Employer only | Employer + employee | Employer + employee |
Employee salary deferrals | No | Yes | Yes |
Employer contributions | Required for all eligible employees | Required annually (3% match or 2% nonelective) | Up to 25% of the employee’s compensation, not to exceed annual maximums. |
Contribution limits | Employer-only, up to 25% of compensation* | Lower than 401(k) | Highest limits |
Investment choices | A variety of Vanguard mutual funds | ||
Costs** |
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Ideal for | Businesses wanting employer-only funding | Small businesses wanting employee participation | Businesses wanting higher limits, broad features, and scalability |
*Subject to annual IRS limits.
** Pricing is subject to change. Excludes investment expenses.
Find the right small business retirement plan
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