Business
Retirement Options for Small Business Owners
The short answer
Business owners don’t get a company pension — but they do have several powerful ways to save, sometimes with higher limits than employees. The right choice depends on your income, whether you have employees, and your goals.
Common options, briefly
- SEP-IRA — simple to set up; contributions are flexible year to year.
- SIMPLE IRA — designed for small businesses with employees.
- Solo 401(k) — for owners with no employees (besides a spouse); often allows larger contributions.
- Defined benefit plans — for high, steady earners wanting to save more.
Beyond saving, owners should also plan how business income becomes personal retirement income, and how the family is protected.
Official resource: The IRS overview of small-business retirement plans is at irs.gov. Confirm specifics with a qualified tax professional.
Have questions about your own situation? Tracy is glad to talk it through with you — clearly and without pressure.
Educational only. Not tax, legal, or investment advice. Retirement plan rules are specific; consult a qualified tax professional. Services offered only where Tracy is properly licensed.