401(k) Companies in Belleville, IL
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Belleville, IL. Establishing a 401(k) plan with trusted 401(k) advisors is a great way for small and mid-sized businesses in Belleville, IL to attract and hold onto employees, incentivize great production, and get those much-desired tax breaks. Correct Capital Wealth Management has been introducing employers to secure 401(k) companies in Belleville, IL for more than two decades. Call us today at 314-930-401(k) or contact us online to find out more about how Correct Capital can help your Belleville, IL business and your employees prosper.
As of 2020, defined-contribution (DC) plans such as 401(k)s made up $9.9 trillion of the total $32.3 trillion in retirement plan capital held in the United States, as reported by the Investment Company Institute. Still, according to a 2020 survey by J.P. Morgan, less than half of all businesses in the United States with less than 50 employees offer a retirement plan to their employees, and over one-third have no present aim to do so. A different study found that a 401(k) plan is the only instrument many Americans have for saving for retirement.
The J.P. Morgan survey reported that the most frequent motive for employers to research 401(k) companies and offer a plan was to incentivize their employees to save conscientiously for retirement. In order to do this fruitfully for your valued employees, it is essential to turn to a trusted, independent retirement planning advisory firm like Correct Capital based in Belleville, IL.
There are various advantages to utilizing Correct Capital's 401(k) services. Correct Capital partners with many dependable and stable 401(k) companies to put forward for you and your employees the retirement solutions that serve your best interests and specific situation. Certain plans are more apt for certain businesses, and our Belleville, IL 401(k) advisors help pick out the best 401(k) company and plan for you and your employees. As an independent retirement planning firm, there is no restriction to which 401(k) companies we can work with . From offering investment education, guiding individual employees on retirement planning, and assisting you maneuver how to best carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are an invaluable aspect of any 401(k) program.
Benefits of Offering a 401(k) Plan | Belleville, IL 401(k) Companies
The advantages of providing retirement planning to workers through 401(k) companies are clear. Thirty-nine percent of employers who did not offer 401(k) plans stated that their business was not bringing in enough profit. But there are countless reasons why implementing a 401(k) plan for your employees could end up being best for your bottom line. The 401(k) advisors at Correct Capital will compile an extensive guide to the many benefits certain programs will have for you. Among them are:
Attracting and Retaining Talent | Belleville, IL 401(k) Companies
We're going through the Great Resignation; a recent survey stated that 55% of Americans thought they would search for a different job in 2021 and 2022. Workers feel 45% more confident about their retirement when their employer has a defined contribution plan. What better way to retain your best employees than letting them know their financial well-being is important to you, even after they've left the workforce?
Motivating Employees | Belleville, IL 401(k) Companies
Many Belleville, IL companies give greater contributions when specific performance goals are met. Incentivizing a 401(k) plan, for instance, offering a Profit-Sharing Contribution Plan, can be a great way to keep your best employees motivated to sustain their performance.
Plan Startup Tax Credits | Belleville, IL 401(k) Companies
Small and medium companies are able to collect a tax credit for plan startup expenses if they fulfill three requirements laid out by the IRS:
- You had under 100 employees who received at least $5,000 in compensation from you the year prior.
- You had a minimum of one plan participant who was a non-highly compensated employee.
- In the three years prior, you did not already have a retirement plan in place that covered substantially the same employees.
The tax credit is obtainable 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 Benefits
Apart from the startup tax credit, the IRS offers two added tax benefits for sponsoring a 401(k) program:
- Employer contributions are tax-deductible to to the point that they do not surpass the limits dictated by Section 404 of the Internal Revenue Code.
- Elective deferrals and investment gains are not taxed and have the benefit of tax deferral until distribution.
One of the features that makes Correct Capital different from other 401(k) consultants in Belleville, IL is that we offer financial planning as a benefit to your participating staff. Through group education gatherings, we'll ensure your employees know the ideal investment options for themselves, know how your 401(k) program functions, and see how it's benefiting them. We can also use one-on-one sessions to go through financial portfolio and asset management with individual workers. When a new member joins your team and they had a 401(k) plan with their prior company, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | Belleville, IL 401(k) Companies
The Belleville, IL 401(k) consultants at Correct Capital can help your business initiate several different plans through several different 401(k) companies. The most common plans are:
- Traditional 401(k) Plans: This is an employer-sponsored plan that includes numerous investment options. Employers are able to match what their employees put in. Taxes are paid when the savings and gains are withdrawn.
- Roth 401(k) Plans: Roth plans are analogous traditional plans, however contributions are made with money you have already paid taxes on. Gains made in the plan, such as interest, dividends, or capital gains, is tax-free when the individual takes money out after continuing the account for 5 years and they are at least 59-½ years old.
- SIMPLE 401(k) Plans: These plans exist specifically for small businesses who want a cost-effective way to offer their staff 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:
- An equal contribution of no more than 3% of an employee's pay; or
- A non-elective contribution of 2% of a staff members pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are similar to to regular 401(k)s, except that they must include employer contributions that are fully vested when made. In consideration of for required contributions, the IRS does not perform its annual nondiscrimination tests.
When we first meet with you, we'll gain an understanding of your Belleville, IL company and your employee's retirement needs to offer the ideal type of 401(k) plan for you.
Other services we offer in Belleville, IL 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 | Belleville, IL 401(k) Companies
Correct Capital stands out among Belleville, IL 401(k) advisors because we offer the level of individualized attention as smaller advisory firms, but couple it with the same wisdom, professionalism, and connections as larger firms. We offer independent and objective direction, always with your best interest in mind; as an Accredited Investment Fiduciary®, it's our legal and ethical duty to do so. Our retirement consultants have been trusted to connect businesses to 401(k) companies for over 25 years and currently represent over $230 million in total plan assets nationwide. Call us at 314-930-401(k) or contact us online to discuss your 401(k) needs today.