401(k) Companies in Brentwood, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Brentwood, MO. Establishing a 401(k) plan with trustworthy 401(k) advisors is a wonderful way for small and mid-sized businesses in Brentwood, MO to draw and hold onto employees, encourage great production, and receive those much-desired tax breaks. Correct Capital Wealth Management has been connecting employers with secure 401(k) companies in Brentwood, MO for over two decades. Call us today at 314-930-401(k) or contact us online to learn more about how Correct Capital can help your Brentwood, MO business and your employees thrive.
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 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 provide a 401(k) plan to their employees, and more than a third have no current plans to do so. An additional study found that a 401(k) plan is the only vehicle many Americans have for saving for retirement.
The J.P. Morgan survey stated that the most frequent motivation for employers to explore 401(k) companies and provide a plan was to encourage their employees to set money aside responsibly for retirement. In order to do this effectively for your prized employees, it is critical to consult a trustworthy, independent retirement planning advisory firm like Correct Capital based in Brentwood, MO.
There are a great deal of benefits to utilizing Correct Capital's 401(k) services. Correct Capital partners with many trusted and secure 401(k) companies to bring you and your employees the retirement solutions that serve your needs and unique situation. Certain plans work better for certain employers, and our Brentwood, MO 401(k) advisors help locate the preferred 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, counseling individual employees on retirement planning, and assisting you understand how to best execute a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are an indispensable aspect of any 401(k) plan.
Advantages of Offering a 401(k) Plan | Brentwood, MO 401(k) Companies
The advantages of offering retirement planning to workers through 401(k) companies are clear. Almost 40% of employers who did not offer 401(k) plans said that their company was not bringing in enough earnings. But there are many reasons why implementing a 401(k) plan for your employees could be best for your bottom line down the road. The 401(k) advisors at Correct Capital will compile an extensive guide to the myriad advantages certain plans will have for you. Among them are:
Recruiting and Retaining Talent | Brentwood, MO 401(k) Companies
We're living through the Great Resignation; a recent survey stated that 55% of Americans anticipated looking for a new job in 2021 and 2022. Workers are 45% more confident about their retirement when their employer has a retirement plan. What better way to hold on to your best employees than letting them know their financial well-being is important to you, even after they've moved on?
Motivating Employees | Brentwood, MO 401(k) Companies
Many Brentwood, MO companies give greater contributions when their employees accomplish certain performance goals. Incentivizing a 401(k) plan, for instance, offering a Profit-Sharing Contribution Plan, can be an excellent way to keep your employees' motivation high and to maintain their production.
Plan Startup Tax Credits | Brentwood, MO 401(k) Companies
Small and medium companies can collect a tax credit for plan startup expenses if they meet three requirements stipulated by the IRS:
- You had less than 100 workers who received a minimum of $5,000 in compensation from you the preceding year.
- You had a minimum of one plan participant who was a non-highly compensated employee.
- In the three preceding years, you did not already have a retirement plan in place that benefited substantially the same employees.
The tax credit is obtainable for up to three years, and there is a different tax credit for attaching an automatic enrollment feature to a new or extant 401(k) plan.
Additional Tax Advantages
Apart from the startup tax credit, the IRS offers two extra tax benefits for implementing a 401(k) program:
- Employer contributions are tax-deductible to the extent that the contributions do not exceed the limits dictated by Section 404 of the Internal Revenue Code.
- Elective deferrals and investment gains are not taxed and posses tax deferral until distribution.
One of the aspects that makes Correct Capital different from other 401(k) advisors in Brentwood, MO is that we offer financial planning as a service to plan participants. Through group education meetings, we'll make certain your employees understand the ideal investment opportunities for themselves, are aware of how your 401(k) plan works, and understand how it's serving them. We can also have one-on-one sessions to go through financial portfolio and asset management with individual staff. When a new member joins your team and they had a 401(k) plan with their prior employer, we can assist them with their 401(k) rollover.
Types of 401(k) Plans | Brentwood, MO 401(k) Companies
The Brentwood, MO 401(k) advisors at Correct Capital can help your business set up several 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 offers a wide array of investment options. Employers can equal their employees' contributions. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are similar to traditional plans, however 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 withdraws funds after maintaining the account for 5 years and they are 59-½ years old or older.
- SIMPLE 401(k) Plans: These plans are specially for small businesses who need a cost-efficient way to offer their workers a retirement plan. Similar to a traditional 401(k) plan, you may take money out of an employee's paycheck as their contribution. But, 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 staff members pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are similar to to regular 401(k)s, however the employer must make contributions that are fully vested when made. In return for required contributions, the IRS does not carry out its yearly nondiscrimination tests.
When we first meet with you, we'll gain an understanding of your Brentwood, MO business and your employee's retirement needs to find the ideal type of 401(k) plan for you.
Other services we offer in Brentwood, MO include:
- 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
- Rollover 401(k)
The Correct Capital Difference | Brentwood, MO 401(k) Companies
Correct Capital stands out among Brentwood, MO 401(k) advisors because we provide the degree of individualized attention as smaller financial firms, but pair it with the same savvy, professionalism, and partnerships as larger firms. We provide independent and objective direction, always geared toward doing what's best for you; as an Accredited Investment Fiduciary®, it's our legal and ethical responsibility to do so. Our retirement consultants have been trusted to introduce companies to 401(k) companies for more than 25 years and presently represent over $230 million in total plan assets across the United States. Call us at 314-930-401(k) or contact us online to go over your 401(k) needs today.