What is a SIMPLE IRA?

SIMPLE IRA

A Savings Incentive Match Plan for Employees (SIMPLE) IRA is an arrangement that allows employees to save for retirement primarily through their own salary deferral contributions. The employer also makes contributions, generally by matching employee contributions.

A Franklin Templeton SIMPLE IRA provides a low-cost alternative for employers who may not be able to offer a 401(k) plan but still want to offer a retirement program, or for self-employed individuals with modest incomes. The only recordkeeping cost is a $15 per participant annual maintenance fee, which is paid by the employee.

You can set up a SIMPLE IRA if you have 100 or fewer employees.

  • For more information, contact Franklin Templeton at (800) 527-2020.