401(k) Companies in St. Charles County, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in St. Charles County, MO. Establishing a 401(k) plan with trustworthy 401(k) advisors is a great way for medium and small businesses in St. Charles County, MO to attract and retain employees, encourage great production, and obtain those much-needed tax breaks. Correct Capital Wealth Management has been connecting businesses with secure 401(k) companies in St. Charles County, MO for over 20 years. Call us today at 314-930-401(k) or contact us online to learn more about how Correct Capital can help your St. Charles County, MO business and your employees prosper.
As of 2020, defined-contribution (DC) plans such as 401(k)s accounted for $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 50% of all employers in the United States with less than 50 employees offer a 401(k) plan to their employees, and over a third have no present plans to do so. A different 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 reported that the most common reason for employers to inquire about 401(k) companies and provide a plan was to encourage their employees to save conscientiously for retirement. In order to do this fruitfully for your valued employees, it is critical to reach out to a trusted, independent retirement planning advisory firm like Correct Capital based in St. Charles County, MO.
There are a great deal of advantages to using Correct Capital's 401(k) services. Correct Capital partners with many trusted and secure 401(k) companies to offer you and your employees the retirement solutions that work for your best interests and specific circumstances. Certain plans work better for certain employers, and our St. Charles County, MO 401(k) advisors help determine the best 401(k) company and plan for you and your employees. As independent advisors, there is no limit to which 401(k) companies we can connect you to . From offering investment education, advising individual employees on retirement planning, and assisting you maneuver how to best implement a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are a vital part of any 401(k) plan.
Advantages of Offering a 401(k) Plan | St. Charles County, MO 401(k) Companies
The benefits of offering retirement planning to employees through 401(k) companies are clear. Thirty-nine percent of employers who did not offer 401(k) plans said that their reason was that their company was not generating sufficient profit. But there are numerous reasons why initiating a 401(k) plan for your employees may end up being best for your bottom line. The 401(k) consultants at Correct Capital will compile a comprehensive guide to the various benefits certain programs will have for you. Among them are:
Attracting and Retaining Talent | St. Charles County, MO 401(k) Companies
We're going through the Great Resignation; a recent survey discovered that 55% of Americans thought they would look for a different job in 2021 and 2022. Workers feel 45% more assured about their retirement when their employer has a defined contribution plan. What better way to hang on to your favorite employees than letting them know their financial security matters to you, even after they've left the workforce?
Motivating Employees | St. Charles County, MO 401(k) Companies
Many St. Charles County, MO businesses offer higher contributions when particular performance goals are met. Incentivizing a 401(k) plan, such as offering a Profit-Sharing Contribution Plan, can be a successful way to keep your employees' motivation high and to sustain their performance.
Plan Startup Tax Credits | St. Charles County, MO 401(k) Companies
Small and medium companies are able to collect a tax credit for plan startup expenses if they fulfill three requirements stipulated by the IRS:
- You had 100 or fewer employees who received at least $5,000 in compensation from you the year prior.
- You had a minimum of 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 covered substantially the same employees.
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 401(k) plan or one you already had.
Additional Tax Benefits
Besides the startup tax credit, the IRS offers two extra tax benefits for implementing a 401(k) plan:
- Employer contributions are tax-deductible to to the point that they 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 enjoy tax deferral until distribution.
One of the aspects that makes Correct Capital different from other 401(k) advisors in St. Charles County, MO is that we offer financial planning as a benefit to your participating employees. With group education meetings, we'll make certain your employees recognize the ideal investment options for themselves, are aware of how your 401(k) plan works, and understand how it's serving them. We can also use 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 offer assistance with their 401(k) rollover.
Types of 401(k) Plans | St. Charles County, MO 401(k) Companies
The St. Charles County, MO 401(k) advisors at Correct Capital can help your companies implement a variety of different plans through several different 401(k) companies. The most frequently used plans are:
- Traditional 401(k) Plans: This is an employer-sponsored program that includes numerous investment options. Employers can equal what their employees put in. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are similar to traditional plans, except that contributions are made with money you have already paid taxes on. Income earned in the plan, such as interest, dividends, or capital gains, is tax-free when the individual withdraws funds 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 looking for a cost-effective way to offer their staff retirement benefits. Similar to a traditional 401(k) plan, you may withhold money from an employee's paycheck as their contribution. However, the employer must make either:
- An equal contribution of no more than 3% of a staff members earnings; or
- A non-elective contribution of 2% of a staff members earnings.
- 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 return for required contributions, the IRS does not carry out its yearly nondiscrimination tests.
When we first meet with you, we'll get to know your St. Charles County, MO company and your employee's retirement needs to offer the ideal type of 401(k) plan for you.
Other services we offer in St. Charles County, MO include:
- Financial Advisor
- Asset Management
- Retirement Consultant
- Financial Portfolio Management
- 401(k) Rollover
- Financial Advice
- Retirement Planning Services
The Correct Capital Difference | St. Charles County, MO 401(k) Companies
Correct Capital is unique among St. Charles County, MO 401(k) advisors because we provide the degree of individualized attention as smaller advisory firms, but couple it with the same savvy, experience, and partnerships as larger firms. We provide independent and objective counsel, always with your best interest in mind; as an Accredited Investment Fiduciary®, it's our legal and ethical duty to do so. Our retirement consultants have been trusted to connect companies to 401(k) companies for over two decades and at present we represent over $230 million in total plan assets throughout the United States. Call us at 314-930-401(k) or contact us online to discuss your 401(k) needs today.