Solved

GH Pharma Inc

Question 31

Multiple Choice

GH Pharma Inc.is planning to introduce employer-sponsored SIMPLE IRA as the retirement plan for its employees.Which of the following is true in this context?


A) GH Pharma Inc. will need to make either matching contributions or elective contributions.
B) If GH Pharma Inc. makes matching contributions it must match employee contributions up to 7 percent of the employee's compensation for the calendar year.
C) Employees who received at least $2,000 in compensation during any prior tax years will be eligible to participate in the firm's SIMPLE IRA plan for the current year.
D) If GH Pharma Inc. establishes a SIMPLE IRA it does not have to worry about meeting the minimum participation/minimum coverage rules applicable to other types of plans.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents