Retirement Plan Comparison Chart

Target

Market

1 + Employees

I + Employees

No more than 100 employees who earned more than $5,000 in prior year

No more than 100 employees who earned more than $5,000 in prior year

Business with fluctuation earnings and self employed

Small businesses and self-employed

Business with high stable earnings

and self employed

Business with stable earnings and owners close to retirement and self-employed

Business with stable earnings and owners close to retirement and self-employed

Key

Feature•

Tax-deferred investing;

flexibility in plan design; investment flexibility

Tax-deferred investing,

no discrimination testing, investment flexibility

Tax-deferred investing,

no discrimination testing, investment flexibility

Tax-deferred investing,

no discrimination testing, investment flexibility

Flexible Contributions; investment flexibility

Investment flexibility

Consistent contributions; Investment flexibility

Consistent contributions

Maximum Consistent contributions

Contributors

Employee and optional Employer

Employee and Employer

Employee and Employer

Employee and Employer

Employer Only

Employer Only

Employer Only

Employer Only

Employer Only

Contribution Flexibility

Yes

No; possible additional employer contribution above safe harbor

No

Very limited

Yes

Yes

No

percentage established at plan set-up

Limited

Based on formula

No

Based on formula

Maximum Eligibility Requirements

Age 21 with

I year of service

Age 21 with

1 year of service

Age 21 with

1 year of service

Employees earning $5,000 in current year and any 2 prior years

Age 21 with

I year of service

(2 years with 100% vesting)

Age 21 with any service in last 3 of 5 years

Age 21 with

I year of service

(2 years with 100% vesting)

Age 21 with

I year of service

(2 years with 100% vesting)

Age 21 with

I year of service

(2 years with 100% vesting)

Maximum

Annual

Salary Deferral

$18,000 (2015)

with $6,000 catch up contributions

$18,000 (2015)

with $6,000 catch up contributions

$12,500 (2015)

with $3,000 catch up contributions

$12,500 (2015)

with $3,000 catch up contributions

Not

Applicable

Not

Applicable

Not

Applicable

Not

Applicable

Not

Applicable

Maximum

Annual

Employer Contributions

25% of eligible employee compensation

3-4% safe harbor; optional additional contribution either matching or non-elective. (Total 25% of eligible contribution)

100% up to 3% match to participants or

2% to all eligible employees

100% up to 3% match to participants or

2% to all eligible employees

Up to 25% of eligible employee compensation;

limited to $53,000 per eligible employee (2015)

25% of eligible employee compensation

Up to 25% of eligible employee compensation;

limited to $53,000 per eligible employee (2015)

Amount needed

to fund plan

Amount needed

to fund plan

Vesting in Employer Contribution

May be graded up to

6 years or 100% other 3 years

100% immediately on Safe Harbor contributions

100% Immediately

100% Immediately

May be graded up to

6 years or 100% other 3 years

100% Immediately

May be graded up to

6 years or 100% other 3 years

May be graded up to 6 years

May be graded up to 6 years

Loans

Yes

Yes

Yes

No

Yes

No

Yes

Yes

No

When

Established

Anytime

Anytime with 30-day notification

for new plans

prior to October 1st

Prior to

October 1st

Prior to

October 1st

Prior to

fiscal year end

Any time prior to tax filing deadline including extension

Prior to

fiscal year end

Prior to

fiscal year end

Prior to

fiscal year end

IRS Reporting

Yes

Yes

Yes

No

Yes

No

Yes

Yes

Yes