Qualified Retirement Plans Offer Advantages
A qualified retirement plan can be beneficial for both employers and employees.
Advantages for Business Owners
Owners of a closely held corporation or self-employed persons can accumulate a sizable fund over a period of years through tax-deferred cash build-up. The owners who are employees may be able to receive a larger share of benefits, within tax guidelines, as compared to all eligible employees who receive benefits.
Advantages for Organizations
A qualified plan may help with the following:
- Reduce corporate tax liability
- Lower employee turnover
- Add to employee incentives
- Reward loyal employees
- Allow flexibility in trust account assets for investment
Advantages for Employees
Employees enjoy the ability to build a retirement fund with tax-deferred dollars. With the addition of 401(k) contributions, even more dollars can be saved. As a result, employees may accumulate a significant fund for a comfortable retirement.
Types of Plan Options
Recordkeeping & Consulting Co. provides plan documents and compliance administration for a variety of retirement plan designs. With our consulting assistance, you can design a retirement plan to fit your organization's needs. Some of the more typical retirement plan options are:
- Profit Sharing Plan
- 401(k) Plan
- Cross-Tested/New Comparability Plan
- 403(b) Plan
- Defined Benefit Pension Plan
- Combination Cash Balance Plan with a 401(k) Plan
RCC Services
We provide the following services for qualified plans:
- Consulting to arrive at a plan design that meets client needs
- Compliance administration each year
- Processing of loans, withdrawals and distributions
- Production of plan reports and participant statements
- Calculation and resolution of non-discrimination tests
- Preparation of Form 5500 filing and Summary Annual Reports
- Preparation and maintenance of Plan Documents
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