self-employed retirement plan

self-employed retirement plan
A retirement plan of a professional man, proprietor of a business, partner, or other self-employed person whereby he sets aside a specified part of his current earnings for use as a retirement fund in the future, which plan, if qualified under the tax law, permits to a limited extent the deduction of his contributions in determining his net income for tax purposes. Internal Revenue Code § 401(c)(1).

Ballentine's law dictionary. . 1998.

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