SEP, SIMPLE, solo 401(k), and defined benefit plans compared, plus health coverage options for owners and the credits for starting a plan.
22 guides, each written by a CPA licensed in the US and Canada.
A captive insurance company is a wholly owned subsidiary formed to insure the risks of its parent company. 831(b) micro-captive basics.
Tax PlanningWithdrawals from 401(k) and IRA accounts before age 59.5 trigger a 10% early withdrawal penalty plus ordinary income tax.
Tax PlanningSelf-employed business owners can deduct health insurance premiums as an above-the-line deduction. Health insurance is one of the largest personal.
Tax PlanningSelf-employed business owners can deduct health insurance premiums as an above-the-line deduction on Form 1040 (not on Schedule C).
Tax PlanningHSAs provide a triple tax benefit: tax-deductible contributions ($4,300 individual, $8,550 family in 2025), tax-free growth.
Tax PlanningHSAs offer a triple tax benefit: tax-deductible contributions, tax-free growth, and tax-free withdrawals for medical expenses.
Tax PlanningHealth Savings Accounts (HSAs) offer a triple tax benefit: contributions are deductible, growth is tax-free, and qualified withdrawals are tax-free.
Tax PlanningAn HSA paired with a high-deductible health plan offers triple tax savings: contributions are pre-tax, growth is tax-free.
Tax PlanningWhen business property is destroyed, stolen, or condemned, IRC 1033 lets you defer the gain if you replace the property within the statutory period.
Tax PlanningIRC 1035 allows taxpayers to exchange one life insurance policy, endowment contract. Permitted IRC 1035 exchanges. Covers deductibility rules, policy.
Tax PlanningA Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) under IRC 9831(d) allows employers with fewer than 50 full-time employees.
Tax PlanningChoosing the right retirement plan is one of the highest-impact tax decisions a business owner can make. 2025 retirement plan contribution limits: | Plan.
Tax PlanningThe Solo 401(k) allows the highest contributions for most self-employed business owners ($23,500 employee + 25% employer = up to $70,000 total in 2025).
Tax PlanningSolo 401(k) allows $23,500 employee deferral plus up to $46,500 employer contribution ($70,000 total for 2025). SEP-IRA allows 25% of compensation.
Tax PlanningSmall businesses with up to 50 employees can claim a tax credit of up to $5,000/year for 3 years for starting a retirement plan.
Tax PlanningSmall businesses with employees have different retirement plan considerations than solo operators. Retirement plans for businesses with employees.
Tax PlanningSelf-employed business owners can deduct health, dental, and vision insurance premiums for themselves and their families as an above-the-line deduction.
Tax PlanningSelf-employed individuals can deduct 100% of health insurance premiums (medical, dental, vision) for themselves, their spouse, and dependents.
Tax PlanningSolo 401(k) allows the highest contribution ($23,500 employee + 25% employer, up to $70,000 combined for 2025). Compare SEP-IRA, solo 401(k), and SIMPLE.
Tax PlanningThe Solo 401(k) allows the highest contributions ($70,000 in 2025 for those under 50, $73,500 for 50+, $81,250 for ages 60-63).
Tax PlanningA side-by-side comparison of the three main retirement plans for small business owners: contribution limits, employee obligations, deadlines.
Tax PlanningInsurance proceeds received by a business are generally not taxable if they reimburse a deductible loss (replacing destroyed equipment.