- Keogh Plan
- A tax deferred pension plan available to self-employed individuals or unincorporated businesses for retirement purposes. A Keogh plan can be set up as either a defined-benefit or defined-contribution plan, although most plans are defined contribution. Contributions are generally tax deductible up to 25% of annual income with a limit of $47,000 (as of 2007). Keogh plan types include money-purchase plans (used by high-income earners), defined-benefit plans (which have high annual minimums) and profit-sharing plans (which offer annual flexibility based on profits).
Also known as an HR(10) plan, Keogh plans can invest in the same set of securities as 401(k)s and IRAs, including stocks, bonds, certificates of deposit and annuities.
Keogh plans were established through legislation by Congress in 1962 and were spearheaded by Eugene Keogh. As with other qualified retirement accounts, funds can be accessed as early as 59.5 and withdrawals must begin by age 70.5.
Keoghs are known to have more administrative burdens and higher upkeep costs than Simplified Employee Pension (SEP) plans, but the contribution limits are higher, making Keoghs a popular option for many business owners and proprietors.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
Keogh plan — Ke·ogh plan / kē ō / n [after Eugene J. Keogh (1907–89), U.S. Congressman whose 1965 bill established the plan]: an individual retirement account for the self employed Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. Keogh plan … Law dictionary
Keogh plan — ☆ Keogh plan [kē′ō ] n. [after Eugene J. Keogh (1907 89), U.S. congressman] a retirement plan for self employed persons and for the owners and employees of unincorporated businesses, similar to an IRA: see IRA1 (Individual Retirement Account) … English World dictionary
Keogh Plan — Unreferenced|date=July 2008Keogh plans are full fledged pension plans for self employed people in the United States.HistoryNamed for United States Congress Representative Eugene James Keogh of New York, they are sometimes called HR10 plans and… … Wikipedia
Keogh plan — noun a tax deferred pension plan for employees of unincorporated businesses or for self employed persons • Hypernyms: ↑pension plan, ↑pension account, ↑retirement plan, ↑retirement savings plan, ↑retirement savings account, ↑retirement account,… … Useful english dictionary
Keogh plan — Ke′ogh plan [[t]ˈki oʊ[/t]] n. bus a pension plan for a self employed person or an unincorporated business • Etymology: 1970–75, amer.; after Eugene J. Keogh (1907–89), N.Y. congressman … From formal English to slang
Keogh plan — /kee oh/ a pension plan for an unincorporated business entity or self employed person. Cf. individual retirement account. [1970 75, Amer.; after Eugene J. Keogh (born 1907), N.Y. Congressman] * * * … Universalium
Keogh plan — A US savings scheme to create a pension plan for self employed people or employees of small and unincorporated businesses, in which tax is deferred until withdrawals are made. It can be held at the same time as a corporate pension or individual… … Accounting dictionary
Keogh plan — A US savings scheme to create a pension plan for self employed people, in which tax is deferred until withdrawals are made. It can be held at the same time as a corporate pension or individual retirement account Keogh plans originated with the… … Big dictionary of business and management
Keogh plan — noun Etymology: Eugene James Keogh died 1989 American politician Date: 1974 an individual retirement account for the self employed … New Collegiate Dictionary
Keogh Plan — Ke|ogh Plan in the US, a personal ↑pension plan for self employed people … Dictionary of contemporary English