You’re a self-employed worker who is thinking about retirement, but where to start? There are multiple options for the self-employed when it comes to planning for your future retirement. Be aware of all your options and the needs associated with each one.

SEP-IRA

Simplified Employee Pensions are commonly known as SEP-IRAs and are traditional IRAs that you can set up. There is a limit of $30,000 annually, or 15% of an employee’s pay, which can be contributed. This money grows without tax penalty until it is withdrawn.

Keogh Plan

These are not as simplified as SEP-IRAs. You must have consultations with financial advisors and fill out paperwork, as well as producing an annual report on the money management. Participants can contribute 20% of their annual income, up to $41,000. Because of the difficulty in administration, these plans are usually reserved for more established businesses.

Roth IRA

These types of plans can be contributed to in conjunction with SEP-IRAs or Keogh Plans. This will allow for greater retirement savings. The annual limit is currently $3,000 per year and although contributions are not tax deductible, withdrawals during retirement are not taxable income. Visit your local investment company or brokerage to start these accounts.

SIMPLE Plan

The Savings Incentive Match Plan for Employees (or SIMPLE) can be utilized by those who are self-employed. The investment cap is at $8,000 per year for this type of plan, plus 3% over annual earnings of $8,000. It is a simpler option than setting up a Keogh.

Solo 401(k)

Just because you’re self-employed doesn’t mean you can’t have a 401(k). You can contribute $14,000 plus 20% of your annual income to the plan. To set up this type of account, there is a lot of paperwork and financial planning involved. Talk to your local brokerage to see if this type of account is right for you.

Spousal Deductible IRA

This is not always the best option for the self-employed, but it is still an option. You can contribute to your spouse’s IRA annually if you yourself do not have an IRA. Total Adjusted Gross Income, or AGI, must remain below $150,000 for the family.