Simple IRA Plans

[Guest cconnell]

Does an employer have to match or contribute a nonelective contribution for himself if he/she elects not to? Provided the contribution is made for the rest of the employees?

Nowhere does it state that an employer (100% owner) has to make the match or nonelective contribution for himself even if he defers the max for the year.

I have a client that sponsors a Simple IRA Plan for himself and employees. He matched the 1.00/1.00 up to 3% of comp for the employees but did not match himself. He deferred the max for the 2006 year but did not match himself. Is this ok to do in a simple IRA?

Thanks,

CConnell