401(k) Companies in Creve Coeur, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Creve Coeur, MO. Setting up a 401(k) plan with trusted 401(k) advisors is a wonderful way for medium and small businesses in Creve Coeur, MO to appeal to and hold onto employees, incentivize great work, and receive those much-needed tax breaks. Correct Capital Wealth Management has been introducing employers to secure 401(k) companies in Creve Coeur, MO for over 20 years. Call us today at 314-930-401(k) or contact us online to discover more about what Correct Capital can do for your Creve Coeur, MO business and employees.
As of 2020, defined-contribution (DC) plans such as 401(k)s comprise $9.9 trillion of the total $32.3 trillion in retirement plan assets 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 employers in the United States with less than 50 employees provide a 401(k) plan to their employees, and more than 33% have no current plans to do so. A different 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 found that the most common reason for employers to inquire about 401(k) companies and provide a plan was to incentivize their employees to save conscientiously for retirement. In order to do this fruitfully for your valued employees, it is important to turn to a trustworthy, independent retirement planning advisory firm like Correct Capital based in Creve Coeur, MO.
There are a great deal of benefits to using Correct Capital's 401(k) services. Correct Capital partners with many dependable and safe 401(k) companies to bring you and your employees the retirement solutions that serve your needs and unique situation. Specific plans work better for certain businesses, and our Creve Coeur, MO 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 restraint 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 implement a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are an indispensable part of any 401(k) plan.
Advantages of Offering a 401(k) Plan | Creve Coeur, MO 401(k) Companies
The benefits of offering retirement planning to workers through 401(k) companies are evident. Thirty-nine percent of employers who did not offer 401(k) plans stated that their company was not generating sufficient earnings. But there are many reasons why initiating a 401(k) plan for your employees might wind up being best for your bottom line. The 401(k) consultants at Correct Capital will put together a comprehensive guide to the various advantages certain plans will have for you. Among them are:
Attracting and Retaining Talent | Creve Coeur, MO 401(k) Companies
We're living through the Great Resignation; a recent survey discovered that 55% of Americans anticipated searching for a new job in 2021 and 2022. Workers are 45% more assured about their retirement when their employer has a retirement plan. What better way to hang on to your best employees than assuring them that you care about their financial well-being, even after they've moved on?
Motivating Employees | Creve Coeur, MO 401(k) Companies
Many Creve Coeur, MO businesses offer higher contributions when particular performance goals are met. Incentivizing a 401(k) plan, for example, offering a Profit-Sharing Contribution Plan, can be an excellent way to keep your best employees motivated to keep up their production.
Plan Startup Tax Credits | Creve Coeur, MO 401(k) Companies
Small and medium companies can get a tax credit for plan startup costs if they fulfill three requirements stipulated by the IRS:
- You had 100 or fewer employees who received a minimum of $5,000 in compensation from you the preceding year.
- You had at least 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 covered substantially the same employees.
The tax credit is obtainable for a maximum of three years, and there is an additional tax credit for attaching an automatic enrollment feature to a new or extant 401(k) plan.
Further Tax Advantages
Besides the startup tax credit, the IRS offers two additional tax benefits for having a 401(k) program:
- Employer contributions are tax-deductible to to the point that they do not exceed the limits set out in Section 404 of the Internal Revenue Code.
- Elective deferrals and investment gains are not taxed and benefit from tax deferral until distribution.
One of the facets that sets Correct Capital apart from other 401(k) advisors in Creve Coeur, MO is that we offer financial planning as a benefit to plan participants. Through group education meetings, we'll make certain your employees know the best investment opportunities 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 staff. When you hire a new employee that had a 401(k) plan with their previous company, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | Creve Coeur, MO 401(k) Companies
The Creve Coeur, MO 401(k) advisors at Correct Capital can help your companies implement many different plans through many different 401(k) companies. The most common plans are:
- Traditional 401(k) Plans: This is an employer-sponsored program that offers numerous investment options. Employers may match their employees' contributions. Taxes are paid when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are much the same traditional plans, however contributions are made with money you have already paid taxes on. Income obtained in the plan, such as interest, dividends, or capital gains, is tax-free when the employee takes funds out after maintaining 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 looking for a cost-efficient way to offer their workers a retirement plan. Similar to a traditional 401(k) plan, you may withhold money from an employee's paycheck as their contribution. But, the employer must make either:
- A matching contribution of no more than 3% of an employee's pay; or
- A non-elective contribution of 2% of an employee's pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are similar to to regular 401(k)s, except that the employer is required to make contributions that are fully vested when made. In consideration of for required contributions, the IRS does not conduct its annual nondiscrimination tests.
In our initial meeting, we'll gain an understanding of your Creve Coeur, MO company and your employee's retirement needs to identify the best type of 401(k) plan for you.
Other services we offer in Creve Coeur, MO include:
- Retirement Planning
- Rollover 401(k)
- Wealth Management
- Financial Advisor
- Asset Management
- Retirement Consultant
- Financial Portfolio Management
- 401(k) Rollover
- Financial Advice
The Correct Capital Difference | Creve Coeur, MO 401(k) Companies
Correct Capital is unique among Creve Coeur, MO 401(k) advisors because we provide the degree of individualized care as smaller financial firms, but pair it with the same wisdom, experience, and partnerships as larger firms. We offer independent and objective advice, always with your best interest at heart; as an Accredited Investment Fiduciary®, it's our legal and moral responsibility to do so. Our retirement consultants have been trusted to connect businesses to 401(k) companies for over two decades and at present we represent over $230 million in total plan assets nationwide. Call us at 314-930-401(k) or contact us online to talk over your 401(k) needs today.