401(k) Companies in Ladue, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Ladue, MO. Initiating a 401(k) plan with trusted 401(k) advisors is a wonderful way for small and mid-sized companies in Ladue, MO to appeal to and retain employees, encourage great production, and receive those much-desired tax breaks. Correct Capital Wealth Management has been introducing companies to trusted 401(k) companies in Ladue, MO for over 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 Ladue, MO business and your employees prosper.
As of 2020, defined-contribution (DC) plans like 401(k)s constitute $9.9 trillion of the total $32.3 trillion in retirement plan funds 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 under 50 employees provide a retirement plan as an employee benefit, and over one-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 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 encourage their employees to set money aside conscientiously for retirement. In order to do this effectively for your prized employees, it is crucial to turn to a trustworthy, independent retirement planning advisory firm like Correct Capital based in Ladue, MO.
There are various advantages to utilizing Correct Capital's 401(k) services. Correct Capital partners with many dependable and safe 401(k) companies to offer you and your employees the retirement solutions that work for your needs and unique circumstances. Certain plans are more apt for certain companies, and our Ladue, MO 401(k) advisors help pick out 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 connect you to . From offering investment education, advising individual employees on retirement planning, and helping you navigate how to best carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are a vital facet of any 401(k) program.
Benefits of Offering a 401(k) Plan | Ladue, MO 401(k) Companies
The advantages of offering retirement planning to workers through 401(k) companies are evident. Almost 40% of employers who did not offer 401(k) plans gave their reason as being that their company was not generating enough revenue. But there are a lot of reasons why implementing 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 compile an extensive guide to the many benefits certain plans will have for you. Among them are:
Recruiting and Retaining Talent | Ladue, MO 401(k) Companies
We're living through the Great Resignation; a recent survey reported that 55% of Americans thought they would look for a new job in 2021 and 2022. Workers feel 45% more confident about their retirement when their employer offers a retirement plan. What better way to keep your best employees than letting them know you care about their financial security, even after they've left the workforce?
Incentivizing Employees | Ladue, MO 401(k) Companies
Many Ladue, MO businesses give greater contributions when their employees accomplish specific performance goals. Incentivizing a 401(k) plan, for instance, offering a Profit-Sharing Contribution Plan, can be a successful way to keep your best employees motivated to continue their performance.
Plan Startup Tax Credits | Ladue, MO 401(k) Companies
Small and medium companies can obtain a tax credit for plan startup costs 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 previous year.
- 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 benefited substantially the same employees.
The tax credit is accessible for a maximum of three years, and there is a different tax credit for adding an automatic enrollment feature to a new or existing 401(k) plan.
Further Tax Benefits
In addition to the startup tax credit, the IRS offers two other tax benefits for having a 401(k) plan:
- Employer contributions are tax-deductible to the extent that the contributions do not surpass the limits stipulated by Section 404 of the Internal Revenue Code.
- Elective deferrals and investment gains are not taxed and have the advantage of tax deferral until distribution.
One of the aspects that makes Correct Capital different from other 401(k) consultants in Ladue, MO is that we offer financial planning as a service to plan participants. Through group education meetings, we'll make certain your employees recognize the ideal investment options for themselves, know how your 401(k) plan functions, and see how it's benefiting them. We can also use one-on-one meetings to discuss financial portfolio and asset management with individual workers. When a new member joins your team and they had a 401(k) plan with their old employer, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | Ladue, MO 401(k) Companies
The Ladue, MO 401(k) consultants at Correct Capital can help your companies initiate several 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 a wide array of investment options. Employers are able to match what their employees put in. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are analogous traditional plans, but 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 maintaining the account for 5 years and they are 59-½ years old or older.
- SIMPLE 401(k) Plans: These plans exist specifically for small businesses who want a cost-efficient way to offer their workers retirement benefits. Similar to a traditional 401(k) plan, you can withhold money from an employee's paycheck as their contribution. But, the employer must make either:
- A matching contribution of up to 3% of a staff members earnings; 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, with the exception the employer must make contributions that are fully vested when made. In consideration of for required contributions, the IRS does not conduct its annual nondiscrimination tests.
When we first meet with you, we'll gain an understanding of your Ladue, MO business and your employee's retirement needs to find the best type of 401(k) plan for you.
Other services we offer in Ladue, MO 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 | Ladue, MO 401(k) Companies
Correct Capital is unique among Ladue, MO 401(k) advisors because we offer the level of individualized care as smaller financial firms, but pair it with the same savvy, professionalism, and partnerships as larger firms. We offer independent and objective counsel, always with your best interest at heart; as an Accredited Investment Fiduciary®, it's our legal and ethical duty to do so. Our retirement consultants have been trusted to introduce businesses to 401(k) companies for more than 25 years 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 discuss your 401(k) needs today.