Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. all of the following are true statements about con

All of the following are true statements about contributions to SIMPLE IRA plans EXCEPT ...

60.1K

Verified Solution

Question

Accounting

All of the following are true statements about contributions to SIMPLE IRA plans EXCEPT

  • A.Employer contributions have to be expressed as a percentage of the employees compensation and cannot exceed $13,500 in 2020 for employees under age 50.

  • B.Unless an election is made otherwise, the employer must match the elective contribution of an employee in an amount not exceeding 3% of the employees compensation.

  • C.An employer may elect to limit its matching contribution for all eligible employees to a smaller percentage of compensation, but not less than 1%.

  • D.An employees SIMPLE IRA contribution cannot exceed 3% of the employees compensation.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students