Business Owners & Executives

Financial planYour company’s retirement and compensation package can help you attract and retain good employees.  We understand there are substantial time, productivity, and monetary costs involved in employee turnover.  That’s why we are committed to finding cost-effective solutions to help your business attract and keep good employees.  We can help with plan design, implementation, and management of your company’s retirement plan.

Business owners, executives and highly compensated professionals can face unique challenges within the confines of a typical company retirement plan, such as a 401k.  Often, your ability to save for retirement is capped lower than you would like by contribution limits.

Looking at the other end of the spectrum, defined benefit plans, utilized in the right situation, can allow a business owner, who for years has reinvested in his/her company, to focus on building up his/her retirement plan balance all while deferring large sums of money that would have been taxed in that year.  Annual contributions to defined benefit plans may often greatly exceed what is allowed in defined contribution plans, such as a 401k.

Of course, defined benefit plans are not right for every situation.  They are age-weighted, and work best for individuals over age 50.  Effectiveness varies on the number of employees and requires at least a five year commitment to funding.  Depending on an individual’s circumstances and goals (tax deferral vs. tax free income, size of contribution, corporate structure, other business interests, etc.) there may be  better ways to maximize retirement savings.  We walk our clients through the available options, educate them about the benefits and costs of each, and help them design a plan that works for them as an individual and/or business owner.

Links for Additional Information:

IRS: The IRS provides a great overview on small business retirement plans on their website.

Department of Labor: The DOL has a chart comparing common retirement plans used by businesses along with a variety of plan information available online.