401(k) Companies in Sappington, MO
401(k) Companies in Sappington, MO. Establishing a 401(k) plan with trustworthy 401(k) advisors is an excellent way for small and mid-sized businesses in Sappington, MO to draw and retain employees, encourage great production, and get those much-desired tax breaks. Correct Capital Wealth Management has been connecting companies with secure 401(k) companies in Sappington, MO for more than two decades. Call us today at 877-930-4015 or contact us online to discover more about how Correct Capital can help your Sappington, MO business and your employees thrive.
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, according to data from the Investment Company Institute. Still, according to a 2020 survey by J.P. Morgan, less than half of all businesses in the United States with less than 50 employees offer a retirement plan to their employees, and more than a third have no present aim to do so. A different study found that a 401(k) plan is the only vehicle many Americans have for setting money aside for retirement.
The J.P. Morgan survey reported that the most frequent reason for employers to inquire about 401(k) companies and offer a plan was to incentivize their employees to save conscientiously for retirement. In order to do this effectively for your prized employees, it is important to reach out to a trustworthy, independent retirement planning advisory firm like Correct Capital based in Sappington, MO.
There are a great deal of advantages to utilizing Correct Capital's 401(k) services. Correct Capital partners with many trusted and stable 401(k) companies to put forward for you and your employees the retirement solutions that serve your best interests and specific circumstances. Certain plans are more appropriate for certain businesses, and our Sappington, MO 401(k) advisors help recognize the best 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, guiding individual employees on retirement planning, and assisting you navigate how to best implement a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are an invaluable facet 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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Benefits of Offering a 401(k) Plan | Sappington, MO 401(k) Companies
The benefits of providing 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 company was not bringing in enough income. But there are many reasons why setting up a 401(k) plan for your employees might wind up being best for your bottom line. The 401(k) consultants at Correct Capital will compile an extensive guide to the many advantages certain programs will have for you. Among them are:
Recruiting and Retaining Talent | Sappington, MO 401(k) Companies
We're enduring the Great Resignation; a recent survey reported that 55% of Americans expected to search for a different job in 2021 and 2022. Workers are 45% more at-ease about their retirement when their employer has a 401(k) plan. What better way to keep your favorite employees than assuring them that you care about their financial security, even after they've left the workforce?
Incentivizing Employees | Sappington, MO 401(k) Companies
Many Sappington, MO employers give higher contributions when their employees accomplish particular 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 sustain their performance.
Plan Startup Tax Credits | Sappington, MO 401(k) Companies
Small and medium companies are able to get a tax credit for plan startup costs if they satisfy three requirements laid out by the IRS:
- You had 100 or fewer workers who received 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.
- In the three years prior, you did not already have a retirement plan in place that covered substantially the same employees.
The tax credit is available for up to three years, and there is a different tax credit for attaching an automatic enrollment feature to a new 401(k) plan or one you already had.
Further Tax Advantages
Other than the startup tax credit, the IRS offers two further tax benefits for sponsoring 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 posses tax deferral until distribution.
Correct Capital's financial advisors also offer extensive tax planning services to Sappington, MO residents and employers. We'll strive 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 Sappington, MO is that we offer financial planning as a service to plan participants. With group education meetings, we'll make sure your employees understand the best investment opportunities for themselves, understand how your 401(k) program works, and appreciate how it's helping them. We can also use one-on-one sessions to talk over 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 | Sappington, MO 401(k) Companies
The Sappington, MO 401(k) advisors at Correct Capital can help your business implement several 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 program that offers numerous investment options. Employers are able to equal their employees' contributions. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are much the same traditional plans, except 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 money out after continuing 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 want a cost-efficient way to offer their employees retirement benefits. Like 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 an employee's earnings; or
- A non-elective contribution of 2% of a worker's pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are analogous to regular 401(k)s, but the employer is required to make contributions that are fully vested when made. In exchange for 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 Sappington, MO company and your employee's retirement needs to offer the best type of 401(k) plan for you.
Other services we offer in Sappington, MO include:
- Succession Planning
- Fiduciary Financial Advisor
- Company 401(k) Plans
- ESOP Advisor
- Self-Employed Retirement Plans
The Correct Capital Difference | Sappington, MO 401(k) Companies
Correct Capital is unique among Sappington, MO 401(k) advisors because we offer the degree of individualized attention as smaller advisory firms, but couple it with the same knowledge, experience, and partnerships as larger firms. We offer independent and objective advice, always geared toward doing what's in your best interest; as an Accredited Investment Fiduciary®, it's our legal and ethical obligation to do so. Our retirement consultants have been trusted to connect businesses to 401(k) companies for more than two decades and currently represent over $230 million in total plan assets nationwide. Call us at 877-930-4015 or contact us online to discuss your 401(k) needs today.
