Simplified Employee Pension (SEP)

IRAs Retirement Planning Financial Terms Dictionary

Contents

A Simplified Worker’s Pension (SEP) is an Individual Retirement Account (IRA) that an employer or self-employed person can open.

SEP IRAs are used by small businesses and the self-employed to meet their retirement savings needs.
SEP IRA contribution limits are annual and often higher than standard IRAs and 401(k)s.