Simplified Employee Pension

You should be able to set up a SEP through a bank if you are eligible.

You'll need to check with the bank whether you can purchase a CD through the SEP IRA account that is ultimately set up.

Here's who is eligible for a SEP: Self-employed persons, sole proprietors, independent contractors, partnerships and corporations are eligible.

To set up a SEP: Obtain form 5305-SEP from your bank, brokerage house, mutual fund company or insurance agency. This form documents the basis of your plan and must be filled in, signed and kept on file.

Putting the SEP investment plan in place involves creating an Individual Retirement Account (IRA) for each eligible employee.

Once the SEP plan is in place you need to inform and educate your employees about the provisions of the plan ' contribution requirements, eligibility requirements and distribution guidelines.

Finally participating employees will need to contribute to the plan according to the plan guidelines.