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Greetings, Ehraskin, and welcome. You asked:

<<1) As I understand it, there's a two year waiting period before a new employee must be given a SEP-IRA employer contribution. Correct? If so, can I contribute sooner?>>

You do NOT have to impose any waiting period on employees. But you may exclude contributions to employees who have not performed any service for at least three of the immediately preceding five years.

<<2) Is it true that whatever percentage I give myself in a particular year I must also give to my "vested" employees?>>

Yes, whatever percent you give yourself must also be contributed on the behalf of all eligible employees.

<<3) Can I change the contribution percentage from week to week, as long as the total doesn't go over the 15% limit?>>

As long as you don't exceed the annual 15% limit, I know of no reason (other than it is an administrative hassle) that you CAN'T do that.

<<4) Is a SEP-IRA a single account that I manage for all my employees, or is there a way to allow each employee to make his/her own investment decisions?>>

See IRS Publication 560 (Retirement Plans for Small Business). Get it at

You may let each employee establish his/her IRA wherever they like, and you just make a deposit to the IRA they designate.

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