Target Market

• For self-employed individuals and small business owners

Prospects

• All taxable businesses; appeals to small companies
• Government entities
• Tax-exempt organizations

Benefit

• A low-cost plan with minimal administration

Fund Offering

• Fidelity Advisor Funds^® in multiple share classes

Employee Eligibility

• Has worked 3 of the past 5 years for the employer
• Is age 21 or older
• Compensation of at least $750¹ in current year

Maximum Contributions

• Lesser of 25% of compensation or $66,000¹

Employer Contribution

• Discretionary

Employee Contributions

• None, except in grandfathered SARSEP IRAs established prior to January 1, 1997

Vesting

• 100% immediately

Loan Option

• No

Employer Costs

• No setup or administration fee
• Annual custodial fee deducted from employee accounts

Deadline for Plan Setup

• Employer's IRS tax-filing deadline, plus extensions

Advantages

• Allows up to the lesser of 25% of compensation or $66,000¹ in contributions; easy to administer and has no employer fees, compared to a 401(k) plan
• Minimal tax-filing burden, paperwork, and administrative expenses
• Employer contributions are discretionary