401(k) Companies in Ballwin, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Ballwin, MO. Initiating a 401(k) plan with trustworthy 401(k) advisors is a wonderful way for medium and small businesses in Ballwin, MO to attract and hold onto employees, encourage great performance, and get those much-needed tax breaks. Correct Capital Wealth Management has been introducing employers to secure 401(k) companies in Ballwin, MO for more than 20 years. Call us today at 314-930-401(k) or contact us online to find out more about how Correct Capital can help your Ballwin, MO business and your employees flourish.
As of 2020, defined-contribution (DC) plans like 401(k)s made up $9.9 trillion of the total $32.3 trillion in retirement plan assets held in the United States, according to the Investment Company Institute. Still, according to a 2020 survey by J.P. Morgan, less than 50% of all businesses in the United States with under 50 employees provide a 401(k) plan to their employees, and over one-third have no present intentions to do so. An additional study found that a 401(k) plan is the only vehicle many Americans have for putting money aside for retirement.
The J.P. Morgan survey stated that the most frequent reason for employers to look into 401(k) companies and provide a plan was to incentivize their employees to put money aside conscientiously for retirement. In order to do this successfully for your valued employees, it is crucial to turn to a trusted, independent retirement planning advisory firm like Correct Capital based in Ballwin, MO.
There are countless benefits to utilizing Correct Capital's 401(k) services. Correct Capital partners with many trusted and secure 401(k) companies to offer you and your employees the retirement solutions that are in your needs and individual situation. Certain plans work better for certain employers, and our Ballwin, MO 401(k) advisors help determine the best 401(k) company and plan for you and your employees. As an independent retirement planning firm, there is no limit to which 401(k) companies we can connect you to . From offering investment education, guiding individual employees on retirement planning, and helping you navigate how to best execute a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are a vital aspect of any 401(k) plan.
Benefits of Offering a 401(k) Plan | Ballwin, MO 401(k) Companies
The benefits of offering retirement planning to employees through 401(k) companies are apparent. Thirty-nine percent of employers who did not offer 401(k) plans stated that their business was not bringing in sufficient earnings. But there are a lot of reasons why implementing a 401(k) plan for your employees may be best for your bottom line down the road. The 401(k) consultants at Correct Capital will put together a comprehensive guide to the various advantages certain programs will have for you. Among them are:
Recruiting and Retaining Talent | Ballwin, MO 401(k) Companies
We're enduring the Great Resignation; a recent survey discovered that 55% of Americans anticipated searching for a new job in 2021 and 2022. Workers feel 45% more assured about their retirement when their employer has a 401(k) plan. What better way to hang on to your best employees than letting them know you care about their financial health, even after they've moved on?
Motivating Employees | Ballwin, MO 401(k) Companies
Many Ballwin, MO businesses offer higher contributions when their employees achieve specific performance goals. Incentivizing a 401(k) plan, such as offering a Profit-Sharing Contribution Plan, can be a successful way to keep your best employees motivated to sustain their production.
Plan Startup Tax Credits | Ballwin, MO 401(k) Companies
Small and medium companies can receive a tax credit for plan startup costs if they meet three requirements laid out by the IRS:
- You had less than 100 employees who collected a minimum of $5,000 in compensation from you the year prior.
- You had a minimum of one plan participant who was a non-highly compensated employee.
- Your company did not already have a retirement plan covering substantially the same employees during the three years preceding the year for which you are claiming credit.
The tax credit is accessible for up to three years, and there is another tax credit for adding an automatic enrollment feature to a new 401(k) plan or one you already had.
Additional Tax Advantages
Other than the startup tax credit, the IRS offers two extra tax benefits for implementing a 401(k) plan:
- Employer contributions are tax-deductible to the extent that the contributions do not surpass the limits stipulated by Section 404 of the Internal Revenue Code.
- Elective deferrals and investment gains are not taxed and enjoy tax deferral until distribution.
One of the facets that sets Correct Capital apart from other 401(k) consultants in Ballwin, MO is that we offer financial planning as a perk to your participating staff. Through group education meetings, we'll make sure your employees know the ideal investment options for themselves, are aware of how your 401(k) plan functions, and see how it's serving them. We can also use one-on-one sessions to discuss financial portfolio and asset management with individual workers. When you hire a new employee that had a 401(k) plan with their prior employer, we can assist them with their 401(k) rollover.
Types of 401(k) Plans | Ballwin, MO 401(k) Companies
The Ballwin, MO 401(k) advisors at Correct Capital can help your business initiate a variety of different plans through a variety of different 401(k) companies. The most frequently used plans are:
- Traditional 401(k) Plans: This is an employer-sponsored plan that includes numerous investment options. Employers may equal what their employees put in. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are much the same traditional plans, but contributions are made with after-tax dollars. Income obtained in the plan, such as interest, dividends, or capital gains, is tax-free when the individual takes funds out after preserving the account for 5 years and they are 59-½ years old or older.
- SIMPLE 401(k) Plans: These plans are specifically for small businesses who want a cost-effective way to offer their workers retirement benefits. Like a traditional 401(k) plan, you can withhold money from an employee's paycheck as their contribution. However, the employer must make either:
- A matching contribution of no more than 3% of a staff members pay; or
- A non-elective contribution of 2% of a worker's earnings.
- Safe Harbor 401(k) Plans: Safe Harbor plans are similar to to regular 401(k)s, other than the fact that they must include employer contributions that are fully vested when made. In consideration of for required contributions, the IRS does not perform its yearly nondiscrimination tests.
When we first meet with you, we'll get to know your Ballwin, MO company and your employee's retirement needs to offer the ideal type of 401(k) plan for you.
Other services we offer in Ballwin, MO include:
- Fiduciary Financial Advisor
- Company 401(k) Plans
- ESOP Advisor
- Self-Employed Retirement Plans
- 401(k) For Small Business
- Small Business Retirement Plans
- Tax Planning
- Social Security Consultants Near Me
- Retirement Calculator
- Retirement Planning
The Correct Capital Difference | Ballwin, MO 401(k) Companies
Correct Capital is distinctive among Ballwin, MO 401(k) advisors because we provide the level of individualized care as smaller financial firms, but pair it with the same savvy, experience, and connections as larger firms. We offer independent and objective advice, always geared toward doing what's in your best interest; as an Accredited Investment Fiduciary®, it's our legal and moral obligation to do so. Our retirement consultants have been trusted to introduce businesses to 401(k) companies for more than 25 years and currently represent over $230 million in total plan assets across the United States. Call us at 314-930-401(k) or contact us online to talk over your 401(k) needs today.