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Self-Directed IRAs

  • What is a SDIRA?
  • How Does Entrust Help?
  • How Do I Start?

Individual Plans

  • Traditional IRA
  • Roth IRA
  • HSA & ESA

Small Business Plans

  • SEP IRA
  • SIMPLE IRA
  • Individual 401(k)

Self-Directed IRA Rules

  • IRA Contribution Limits
  • Fair Market Valuation
  • Disqualified Persons & Prohibited Transactions
  • Distributions

Funding Your IRA

  • IRA Transfer
  • IRA Rollover
  • IRA Contribution

Investment Options

A Self-Directed IRA gives you the opportunity to make investment decisions in areas based on your knowledge and expertise. From real estate to private lending, you can choose from a wide variety of different types of investments allowed. 

Real Estate

  • Why Real Estate IRA?
  • Types of Real Estate IRAs
  • Funding Your Real Estate Purchase
  • Investment Strategies
  • myDirection Visa Card

Precious Metals

  • Why Precious Metals?
  • Parties Involved
  • Dealers
  • Domestic Depository Options
  • Metals Allowed
  • Process

Private Placements

  • Checkbook Control

Other Alternatives

  • Energy, Gas, Oil
  • Mortgage Notes

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Stand out from the competition by offering your audience a way to diversify their portfolios.

Real Estate
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About Entrust

"For almost 40 years, The Entrust Group has provided account administration services for self-directed retirement and tax-advantaged plans. Entrust can assist you in purchasing alternative investments with your retirement funds, and administer the buying and selling of assets that are typically unavailable through banks and brokerage firms."

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The Entrust Group is a BBB Accredited Financial Service in Oakland, CA
  • Self-Directed IRAs
  • Self-Directed IRA Rules
  • Contribution Limits
  • SEP IRA

SEP IRA Contribution Limits

  • Traditional IRA
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  • SEP IRA
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  • Chart (PDF)
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SEP IRA Contribution Deadlines

  • The employer's tax return date plus extensions.
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SEP IRA Information

A Simplified Employee Pension Plan (SEP) allows an employer to contribute on a tax-favored basis to IRAs owned by its employees. Under a SEP, a Traditional IRA is set up by or for an employee to accept the employer’s contributions.

How much can I contribute to my SEP IRA?

SEP employer contribution limits cannot exceed:

1. Up to 25% of compensation OR

2. $57,000 in 2020 ($58k in 2021)

  2020 2021
SEP Employer Contribution Limits Up to 25% of compensation, with a maximum of $57,000* Up to 25% of compensation, with a maximum of $58,000*
SEP Current Year Minimum Compensation Required $600 $650
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Eligibility for SEP IRAs

  • Any business, sole proprietor, partnership, or corporation is eligible.
  • Any employee that has reached age 21 and has worked for the employer in at least 3 of the last 5 years is eligible.
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Other Important Information

  • Plan establishment and contribution can be made up until the employer’s tax return due date (plus extensions).
  • Employer contributions are discretionary and tax-deductible.
  • This plan is not subject to the reporting and disclosure requirements of most retirement plans.
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SEP IRA Contributions for the Self-Employed

Calculating the SEP IRA contribution limit for self-employed persons is a bit more complex. Further details can be found in IRS Publication 560. Consult your tax advisor on this matter if it applies to you.

Frequently Asked Questions

What is a SEP IRA?

A SEP IRA is a Simplified Employee Pension IRA.  A SEP IRA is designed for small business owners and self employed individuals to provide retirement benefits for themselves and their employees.

How much can I contribute to a SEP IRA?

The minimum contribution for a SEP IRA in 2020 is $600 for the current year.  The maximum contribution is up to 25% of one’s compensation or up to $57,000 as of 2020.

Do you pay taxes on your SEP IRA?

Yes. SEP IRA contributions are taxed at the ordinary income rate when individuals make a withdrawal after age 59 ½. However, contributions may be deducted in each contribution year, thus lowering the taxpayer’s income liability for the contribution year.  SEP IRA contributions may be rolled over to other IRA accounts tax free as well.

IRA Contribution Limits FAQs

Learn the answers to the most asked questions on the topic of contribution limits

 
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