Business owners may be surprised to find that offering the right retirement plan may significantly benefit both themselves and employees. This article gives an overview of all the major features of each kind of retirement plan.
Please feel free to download for yourself or share with small business owners you may know. If you need any recommendations for Financial Advisors to help set up one of these options for a small business we would be happy to refer!
This article will cover:
Simplified Employee Pension (SEP)
– Benefits include not having to make contributions each year, low start-up and operating costs, and flexibility if business conditions vary.
SIMPLE (Savings Incentive Match Programs of Small Employers)
– Benefits include being easy to establish and inexpensive to administer, and flexible contribution options (dollar-for-dollar or percentage).
401(k)
– Benefits include being widely accepted and competitive in benefit packages to attract talent and new prototype 401(k) plans from financial institutions to lessen administrative burden on the employer.
Defined Benefit
– Benefits include fixed, pre-established benefit for employees and they are often viewed as more valuable to employees due to a potential greater benefit at retirement.
Download below for the full PDF.