Definitions for "Savings Incentive Match Plan for Employees"
SIMPLE. A retirement plan sponsored by companies with fewer than 100 employees...
A tax-deferred retirement savings plan similar to a conventional 401(k) plan, but redesigned with specific rules to meet the needs of small-scale employers.
A type of defined contribution plan for employers with 100 or fewer employees in which the employer matches employee deferrals up to 3 percent of compensation or provides non-elective contributions up to 2 percent of compensation. These contributions are immediately and 100 percent vested, and they are the only employer contribution to the plan. SIMPLE plans may be structured as individual retirement accounts (IRAs) or as 401(k) plans.