401(k) Companies in Olivette, MO
401(k) Companies in Olivette, MO. Initiating a 401(k) plan with dependable 401(k) advisors is a great way for medium and small companies in Olivette, MO to appeal to and retain employees, encourage great performance, and get those much-desired tax breaks. Correct Capital Wealth Management has been introducing businesses to trusted 401(k) companies in Olivette, MO for more than two decades. Call us today at 877-930-4015 or contact us online to learn more about how Correct Capital can help your Olivette, 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 assets held in the United States, according to 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 offer a 401(k) plan as an employee benefit, and over one-third have no current intent to do so. A different study found that a 401(k) plan is the only instrument many Americans have for putting money aside for retirement.
The J.P. Morgan survey found that the most common incentive for employers to look into 401(k) companies and provide a plan was to encourage their employees to put money aside conscientiously for retirement. In order to do this effectively for your prized employees, it is crucial to turn to a trusted, independent retirement planning advisory firm like Correct Capital based in Olivette, MO.
There are various advantages to utilizing Correct Capital's 401(k) services. Correct Capital partners with many reliable and safe 401(k) companies to bring you and your employees the retirement solutions that serve your best interests and individual situation. Specific plans work better for certain businesses, and our Olivette, MO 401(k) advisors help determine the best 401(k) company and plan for you and your employees. As independent retirement consultants, 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 navigate how to best execute a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are a crucial aspect of any 401(k) plan.
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Correct Capital Wealth Management's office is physically located in St. Louis, MO, but we serve clients throughout the United States in both personal financial planning and corporate retirement plans.
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Advantages of Offering a 401(k) Plan | Olivette, MO 401(k) Companies
The benefits of offering retirement planning to staff through 401(k) companies are obvious. Thirty-nine percent of employers who did not offer 401(k) plans said that their reason was that their business was not bringing in enough revenue. But there are numerous reasons why setting up a 401(k) plan for your employees may end up being best for your bottom line. The 401(k) consultants at Correct Capital will put together an extensive guide to the myriad advantages certain plans will have for you. Among them are:
Recruiting and Retaining Talent | Olivette, MO 401(k) Companies
We're enduring the Great Resignation; a recent survey stated that 55% of Americans thought they would look for a different job in 2021 and 2022. Workers are 45% more assured about their retirement when their employer has a 401(k) plan. What better way to hold on to your hardest working employees than assuring them that their financial security is important to you, even after they are no longer working for you?
Motivating Employees | Olivette, MO 401(k) Companies
Many Olivette, MO employers offer higher contributions when their employees achieve particular performance goals. Incentivizing a 401(k) plan, for example, offering a Profit-Sharing Contribution Plan, can be an excellent way to keep your employees' motivation high and to continue their performance.
Plan Startup Tax Credits | Olivette, MO 401(k) Companies
Small and medium companies can collect a tax credit for plan startup expenses if they satisfy three requirements laid out by the IRS:
- You had less than 100 workers who collected at least $5,000 in compensation from you the year prior.
- You had at least one plan participant who was a non-highly compensated employee.
- Your company did not already have a retirement plan benefiting substantially the same employees during the three years preceding the year for which you are claiming credit.
The tax credit is obtainable for a maximum of three years, and there is a different tax credit for attaching an automatic enrollment feature to a new or extant 401(k) plan.
Further Tax Benefits
Besides the startup tax credit, the IRS offers two extra tax benefits for having a 401(k) plan:
- 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 enjoy tax deferral until distribution.
Correct Capital's financial advisors also offer all-inclusive tax planning services to Olivette, MO companies. We'll work to lower your tax liability as part of our 401(k) services.
Employee Education
One of the things that sets Correct Capital apart from other 401(k) advisors in Olivette, MO is that we offer financial planning as a service to plan participants. Through group education meetings, we'll make sure your employees recognize the best investment options for themselves, know how your 401(k) program functions, and appreciate how it's benefiting them. We can also have one-on-one sessions to go through financial portfolio and asset management with individual workers. When you hire a new employee that had a 401(k) plan with their prior employer, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | Olivette, MO 401(k) Companies
The Olivette, 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 includes numerous investment options. Employers may match what their employees put in. Taxes are paid when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are similar to traditional plans, with the exception contributions are made with after-tax dollars. Income made in the plan, such as interest, dividends, or capital gains, is tax-free when the employee takes funds out after continuing the account for 5 years and they are at least 59-½ years old.
- SIMPLE 401(k) Plans: These plans are specially for small businesses who want a cost-efficient way to offer their workers retirement benefits. Like a traditional 401(k) plan, you may withhold money from an employee's paycheck as their contribution. But, the employer must make either:
- An equal contribution of up to 3% of a staff members pay; or
- A non-elective contribution of 2% of a worker's earnings.
- Safe Harbor 401(k) Plans: Safe Harbor plans are much the same to regular 401(k)s, except that they must include employer contributions that are fully vested when made. In consideration of for required contributions, the IRS does not conduct its annual nondiscrimination tests.
In our first meeting, we'll gain an understanding of your Olivette, MO business and your employee's retirement needs to offer the best type of 401(k) plan for you.
Other services we offer in Olivette, MO include:
- Succession Planning
- Fiduciary Financial Advisor
- Company 401(k) Plans
- ESOP Advisor
- Self-Employed Retirement Plans
The Correct Capital Difference | Olivette, MO 401(k) Companies
Correct Capital is unique among Olivette, MO 401(k) advisors because we provide the level of individualized care as smaller advisory firms, but combine it with the same knowledge, accomplishment, and partnerships as larger firms. We provide independent and objective guidance, always with your best interest at heart; as an Accredited Investment Fiduciary®, it's our legal and moral duty to do so. Our retirement consultants have been trusted to connect companies to 401(k) companies for more than 25 years and currently represent over $230 million in total plan assets nationwide. Call us at 877-930-4015 or contact us online to go over your 401(k) needs today.
