Archive | January, 2011

How to compare 401(k) providers if you might switch

January 28, 2011

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You have a 401(k) plan for your business which is great. But how do you know you are receiving great value? Most 401(k) providers don’t adjust your pricing lower even though your plan is likely more valuable to them as it has grown and industry pri…

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Top 5 ways a 401(k) helps small businesses

January 28, 2011

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A 401(k) plan offers any size business, whether you are self-employed or have 50,000 employees, one of the most powerful ways to save tax-deferred. And that’s just the beginning.
It’s a benefit that offers great flexibility and is typically a fra…

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The one thing small businesses can count on for retirement

January 28, 2011

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Traditionally in America, building for retirement was thought to be founded on a three legged stool: 1) company pension, 2) social security, and 3) personal savings. With all three legs working together, many owners and employees could build a significant nest egg by the time they reached retirement age. With this sort of financial freedom, the options to pursue lifelong dreams could be realized.

Yet, the majority of workers have never had access to a pension, and in fact, pensions are on the decline. Social Security is designed to provide a nice supplement for American’s retirement needs, but at the present, it is only funded through 2037. Without raising taxes or increasing the retirement age for Social Security benefits, it could be a pretty small supplement.

So that leaves one leg of the stool to rely on. That’s you. And you have the ability to put money away now for down the road. The next decision is to determine the best retirement saving option for yourself and others that are important to you.

For small business owners, the decision is often between an individual IRA and a 401(k) plan for their business (even the self-employed). As you can see in the chart below, a 401(k) can provide a real leg up in tax-deferred savings versus an IRA. You’ll likely find it’s a pretty small price to pay for retirement.

401(k) Traditional IRA
Annual Limit per Individual $49,000 $5,000
Age 50+ Catch-up Amount $5,500 $1,000
Roth Income Limit None $120K*
Penalty-free Access Yes, loan to self No

* amount you can contribute starts phasing out at $105K

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How to Select the Best 401(k) Plan Provider for Your Business

January 28, 2011

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Your business is running well and you’ve begun looking for ways to ensure you put money away for later on, save on taxes now, and provide a great incentive for employees to stay engaged with your company. And you don’t want it take a lot of time o…

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Now a 401(k) plan that’s easier to set up than voice mail

January 28, 2011

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For those that have never had a 401(k) plan, it can seem like a lot of paperwork and hassle to put a retirement plan in place. Well, things are changing as it’s gotten a lot easier. A few leading providers have completely eliminated the paperwork f…

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Announcing a 401(k) for Groupies (aka. Advanced Profit Sharing)

January 28, 2011

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When we hear a business owner ask for the “Grouper”, we know they are interested in how they might use a 401(k) plan to reward employees differently by group, tenure or age. Advanced profit sharing 401(k) plans give employers more flexibility in …

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401(k) plan investment expertise at your service!

January 28, 2011

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In a typical 401(k) plan, the owner or designated plan sponsor for your company plan is responsible for selecting and reviewing the investment options offered in the plan. If there are concerns, or in worst case, an employee lawsuit about the fund off…

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Finding the right 401(k) plan just got a lot easier

January 28, 2011

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You may have heard the news. We revamped our product names and expanded our services to make it even easier for business owners to compare different 401(k) plan types and select the right plan design for their specific needs.

Our goal is to help an…

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