401(k) Companies in Dardenne Prairie, MO
401(k) Companies in Dardenne Prairie, MO. Initiating a 401(k) plan with trustworthy 401(k) advisors is an excellent way for small and mid-sized businesses in Dardenne Prairie, MO to appeal to and hold onto employees, incentivize great work, and receive those much-desired tax breaks. Correct Capital Wealth Management has been introducing employers to trustworthy 401(k) companies in Dardenne Prairie, MO for more than two decades. Call us today at 877-930-4015 or contact us online to find out more about how Correct Capital can help your Dardenne Prairie, MO business and your employees succeed.
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 50% of all companies in the United States with less than 50 employees provide a retirement plan to their employees, and over 33% have no current intentions to do so. Another 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 common motivation for employers to inquire about 401(k) companies and provide a plan was to encourage their employees to put money aside conscientiously for retirement. In order to do this successfully for your valued employees, it is important to reach out to a trusted, independent retirement planning advisory firm like Correct Capital based in Dardenne Prairie, MO.
There are countless advantages to using Correct Capital's 401(k) services. Correct Capital partners with many reliable and secure 401(k) companies to put forward for you and your employees the retirement solutions that work for your best interests and specific circumstances. Specific plans work better for certain employers, and our Dardenne Prairie, MO 401(k) advisors help determine the best 401(k) company and plan for you and your employees. As an independent advisory firm, there is no restraint to which 401(k) companies we can connect you to . From offering investment education, guiding individual employees on retirement planning, and assisting you navigate how to best carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are an invaluable facet of any 401(k) plan.
Advantages of Offering a 401(k) Plan | Dardenne Prairie, MO 401(k) Companies
The benefits of providing retirement planning to workers through 401(k) companies are obvious. Almost 40% of employers who did not offer 401(k) plans said that their company was not generating sufficient earnings. But there are many reasons why implementing a 401(k) plan for your employees may wind up being best for your bottom line. The 401(k) consultants at Correct Capital will compile an all-inclusive guide to the many benefits certain plans will have for you. Among them are:
Recruiting and Retaining Talent | Dardenne Prairie, MO 401(k) Companies
We're going through the Great Resignation; a recent survey found that 55% of Americans thought they would look for a different job in 2021 and 2022. Workers are 45% more confident about their retirement when their employer provides a defined contribution plan. What better way to keep your favorite employees than assuring them that their financial well-being is important to you, even after they've left the workforce?
Motivating Employees | Dardenne Prairie, MO 401(k) Companies
Many Dardenne Prairie, MO businesses give increased contributions when particular performance goals are met. Incentivizing a 401(k) plan, for instance, offering a Profit-Sharing Contribution Plan, can be an excellent way to keep your best employees motivated to sustain their production.
Plan Startup Tax Credits | Dardenne Prairie, MO 401(k) Companies
Small and medium companies are able to receive a tax credit for plan startup costs if they meet three requirements laid out by the IRS:
- You had 100 or fewer staff who collected a minimum of $5,000 in compensation from you the previous 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 benefited substantially the same employees.
The tax credit is available for a maximum of three years, and there is a different tax credit for adding an automatic enrollment feature to a new 401(k) plan or one you already had.
Further Tax Advantages
Apart from the startup tax credit, the IRS offers two further tax benefits for implementing a 401(k) plan:
- Employer contributions are tax-deductible to the extent that the contributions do not go over 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.
Correct Capital's financial advisors also offer comprehensive tax planning services to Dardenne Prairie, MO businesses. We'll work to decrease your tax liability as part of our 401(k) services.
Employee Education
One of the facets that makes Correct Capital different from other 401(k) consultants in Dardenne Prairie, MO is that we offer financial planning as a perk to plan participants. With group education gatherings, we'll make sure your employees understand the best investment options for themselves, understand how your 401(k) plan functions, and recognize how it's benefiting them. We can also use one-on-one meetings to talk over financial portfolio and asset management with individual employees. When a new employer joins your team and they had a 401(k) plan with their prior employer, we can help them with their 401(k) rollover.
Types of 401(k) Plans | Dardenne Prairie, MO 401(k) Companies
The Dardenne Prairie, MO 401(k) consultants at Correct Capital can help your companies set up 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 offers numerous investment options. Employers are able to match their employees' contributions. Taxes are paid when the savings and gains are withdrawn.
- Roth 401(k) Plans: Roth plans are analogous traditional plans, except that 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 withdraws money after preserving the account for 5 years and they are at least 59-½ years old.
- SIMPLE 401(k) Plans: These plans are in place specially for small businesses who want 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. However, the employer must make either:
- An equal contribution of no more than 3% of a worker's pay; or
- A non-elective contribution of 2% of a staff members pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are much the same to regular 401(k)s, with the exception they must include employer contributions that are fully vested when made. In exchange for for required contributions, the IRS does not perform its annual nondiscrimination tests.
In our first meeting, we'll get to know your Dardenne Prairie, MO business and your employee's retirement needs to offer the best type of 401(k) plan for you.
Other services we offer in Dardenne Prairie, MO include:
- Succession Planning
- Fiduciary Financial Advisor
- Company 401(k) Plans
- ESOP Advisor
- Self-Employed Retirement Plans
The Correct Capital Difference | Dardenne Prairie, MO 401(k) Companies
Correct Capital is distinctive among Dardenne Prairie, MO 401(k) advisors because we offer the level of personalized care as smaller advisory firms, but pair it with the same savvy, professionalism, and connections as larger firms. We provide independent and objective guidance, always geared toward doing what's in your best interest; 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 more than two decades and at present we represent over $230 million in total plan assets nationwide. Call us at 877-930-4015 or contact us online to talk over your 401(k) needs today.
