Susan can choose to adopt a 401k plan. This has both its pros and cons. The benefit of this plan is that it deducts the contributions from your paycheck immediately, reducing your taxable income. The second benefit is flexibility. Workers can choose how much they would like to contribute. This technique can also be employed with multiple employers to ensure continuity. This plan has several costs, including administrative and investment fees. However, the plan’s investment options limit to mutual funds and ETFs, which is a limitation for workers. The plan does not allow withdrawals after retirement, no matter if the participant is still working. Participation in the 403 (b), for nonprofit workers is possible. This strategy has the advantage that it can be tax deductible, meaning you avoid income tax. The user can choose from a Roth IRA (or an IRA), giving them flexibility and choice (Clark Craig, Sabelhaus 2011). Employers can also make contributions with this technique. The program has few investment options available, and this is the biggest problem. The plan’s administrative and service costs are also high. A similar penalty is imposed on participants who withdraw early, regardless of their age or retirement. Both the benefits and drawbacks of the traditional individual retirement plan are shared. The scheme’s positive aspects include tax-deferred growing, which protects employees from an increase in their wages. (Clark Craig and Sabelhaus (2011) Both for-profit employees and those working in non-profit organizations can donate to this program. The program also safeguards member contributions in the case of bankruptcy. The program has a lower contribution limit than 401(k), 403(b), and other plans (Clark Craig and Sabelhaus 2011, 2011). Members who are not yet retired can withdraw their funds early, and there is a severe penalty for those who do. It is also limited in terms of investment options, making it difficult to manage. Finally, the maximum adjusted gross income is set at $2,000, making it unpopular for those with variable incomes. There are many differences and similarities between SEPs. SIMPLE plans and Solo 401(k). retirement plans. SEPs are simplified employee retirement plans that are designed after individual retirement accounts. The SEP can be used by employees from for-profit or non-profit businesses. This allows it to meet the requirements of smaller firms as well freelance workers, business owners, self-employed, and small- and medium-sized companies. SEP is fair to all employees. The model states that even though the employer may keep 10 percent, all workers are entitled to the same money. This may prove to be beneficial for smaller businesses with low revenues, but it could also make it less attractive for larger corporations.