Employer sponsored plan (Employer sponsored retirement plan)

Definition

A retirement plan established by an employee for the benefit of it’s employees  and their beneficiaries.

Employer sponsored plans include the following:

1.  
   1. Employer sponsored IRAs
   2. Qualified plans
   3. 403(a) Annuity plans
   4. 403(b) plans
   5. Governmental plans
   6. IRC § 501(c)(18) Trust
   7. SEP IRAs
   8. SIMPLE IRAs

Referring Cite

Applicable Code section

Additional Helpful Information

• An employer receives tax and non-tax benefits from sponsoring a retirement plan for its employees
• The different types of employer sponsored plans are subject to different types of eligibility requirements, tax reporting requirements , nondiscrimination testing and levels of complexity.