| Plan |
Eligibility |
Tax deferred? |
| 401
(K) |
Employees with typically one year of service at companies that offer
the plan. Maximum annual
savings: $10,000 or plan limit. |
Yes |
| 403(b) |
Employees of non-profit organizations such as schools and hospitals. Maximum annual
savings: $10,000 or plan limit.
|
Yes |
| Keogh |
Self-employed individuals.
Maximum annual savings: 25% of net income or $30,000. |
Yes |
| SEP-IRA |
Self employed individuals.
Maximum annual savings: 15% of net income or $30,000. |
Yes |
| Simple IRA |
Self employed individuals.
Maximum annual savings: $6,000 plus match of 3% of income. |
Yes |
| Roth IRA |
Couples earning less than $160,000; singles earning under
$110,000. Maximum annual
savings: $2,000 per individual.
|
No |
| Traditional IRA |
Workers not covered by employer plan; married earning less than
$61,000 or single earning less than $41,000; or married, one spouse
covered by employer, joint income under $160,000. Maximum annual savings: $2,000 per
individual. |
Yes |
| Nondeductible IRA |
Individual with earned income. Maximum annual savings: $2,000 per
individual. |
No |
