SIMPLE IRA accounts can only be funded by contributions made through the Employee Plan Administrator (EPA) account. Employers will fund their EPA account and then distribute the funds to the SIMPLE IRA employee accounts. EPAs will use their Portal to provide Interactive Brokers with instructions for transferring funds to the employee accounts.
Contributions intended for employee accounts should be made by the employer via salary reduction. The employer will fund the EPA account using our standard funding methods, such as mailing a check or by wire. Employers are required to contribute to their employees' accounts and have two options to do so.
- Option 1— “Employee Match”— The employer matches employee contributions up to 3% of their salary. Employees must make participating contributions before the employer can make matching contributions.
- Option 2— “Employer Non-Elective”— The employer makes an automatic 2% contribution to employee accounts. Employer contributions are not contingent on employee contributions.
Additional Information
- For information on contribution limits review the IRA information on our webpage.
- What is the SIMPLE IRA?