401(k) Companies in Dardenne Prairie, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Dardenne Prairie, MO. Initiating a 401(k) plan with trusted 401(k) advisors is an excellent way for small and mid-sized companies in Dardenne Prairie, MO to appeal to and retain employees, encourage great work, and obtain those much-desired tax breaks. Correct Capital Wealth Management has been connecting businesses with trustworthy 401(k) companies in Dardenne Prairie, MO for over two decades. Call us today at 314-930-401(k) or contact us online to discover more about what Correct Capital can do for your Dardenne Prairie, MO business and employees.
As of 2020, defined-contribution (DC) plans such as 401(k)s constitute $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 companies in the United States with less than 50 employees provide a 401(k) plan as an employee benefit, and more than one-third have no current plans to do so. Another study found that a 401(k) plan is the only avenue many Americans have for putting money aside for retirement.
The J.P. Morgan survey stated that the most common reason for employers to look into 401(k) companies and offer a plan was to incentivize their employees to set money aside responsibly for retirement. In order to do this successfully for your valued employees, it is crucial to turn to a trustworthy, independent retirement planning advisory firm like Correct Capital based in Dardenne Prairie, MO.
There are a great deal of benefits to using Correct Capital's 401(k) services. Correct Capital partners with many trusted 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 pick out the preferred 401(k) company and plan for you and your employees. As an independent advisory firm, there is no limit 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 carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are a vital aspect of any 401(k) plan.
Advantages of Offering a 401(k) Plan | Dardenne Prairie, MO 401(k) Companies
The benefits of offering retirement planning to workers through 401(k) companies are clear. Almost 40% of employers who did not offer 401(k) plans stated that their company was not bringing in enough revenue. But there are many reasons why setting up a 401(k) plan for your employees could be best for your bottom line in the end. The 401(k) advisors at Correct Capital will put together an extensive guide to the myriad advantages certain programs will have for you. Among them are:
Attracting and Retaining Talent | Dardenne Prairie, MO 401(k) Companies
We're going through the Great Resignation; a recent survey reported that 55% of Americans anticipated looking for a different job in 2021 and 2022. Workers are 45% more assured about their retirement when their employer offers a defined contribution plan. What better way to hang on to your hardest working employees than assuring them that their financial well-being is important to you, even after they are no longer working for you?
Motivating Employees | Dardenne Prairie, MO 401(k) Companies
Many Dardenne Prairie, MO companies give greater contributions when their employees meet specific performance goals. 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 production.
Plan Startup Tax Credits | Dardenne Prairie, MO 401(k) Companies
Small and medium companies are able to obtain a tax credit for plan startup expenses if they satisfy three requirements laid out by the IRS:
- You had less than 100 employees who received a minimum of $5,000 in compensation from you the previous year.
- 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 available for up to three years, and there is a further tax credit for adding an automatic enrollment feature to a new or existing 401(k) plan.
Further Tax Advantages
Besides the startup tax credit, the IRS offers two other 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 stipulated 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.
Correct Capital's financial advisors also offer extensive tax planning services to Dardenne Prairie, MO residents and employers. We'll strive to lower your tax liability as part of our 401(k) services.
One of the things that sets Correct Capital apart from other 401(k) consultants in Dardenne Prairie, MO is that we offer financial planning as a service to your participating staff. With group education meetings, we'll make certain your employees know the ideal investment opportunities for themselves, are aware of how your 401(k) plan functions, and understand how it's benefiting them. We can also have 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 employer, we can assist them with their 401(k) rollover.
Types of 401(k) Plans | Dardenne Prairie, MO 401(k) Companies
The Dardenne Prairie, MO 401(k) advisors at Correct Capital can help your companies set up many different plans through many different 401(k) companies. The most frequently used plans are:
- Traditional 401(k) Plans: This is an employer-sponsored program that includes a wide array of investment options. Employers may equal their employees' contributions. Taxes are paid when the savings and gains are withdrawn.
- Roth 401(k) Plans: Roth plans are much the same traditional plans, other than the fact that contributions are made with money you have already paid taxes on. Gains earned in the plan, such as interest, dividends, or capital gains, is tax-free when the employee takes funds out after preserving the account for 5 years and they are at least 59-½ years old.
- SIMPLE 401(k) Plans: These plans exist specially for small businesses who need a cost-efficient way to offer their workers a retirement plan. Like a traditional 401(k) plan, you can take money out of an employee's paycheck as their contribution. However, the employer must make either:
- An equal contribution of up to 3% of an employee's earnings; or
- A non-elective contribution of 2% of an employee's pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are much the same to regular 401(k)s, but they must include employer contributions that are fully vested when made. In consideration of for required contributions, the IRS does not conduct its yearly 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:
- Financial Advisor
- Asset Management
- Retirement Consultant
- Financial Portfolio Management
- 401(k) Rollover
- Financial Advice
- Retirement Planning Services
The Correct Capital Difference | Dardenne Prairie, MO 401(k) Companies
Correct Capital stands out among Dardenne Prairie, MO 401(k) advisors because we provide the level of personalized attention as smaller advisory firms, but pair 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 moral obligation to do so. Our retirement consultants have been trusted to connect companies to 401(k) companies for over 25 years and presently 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.