401(k) Companies in St. Louis County, MO
401(k) Companies in St. Louis County, MO. Initiating a 401(k) plan with trustworthy 401(k) advisors is a wonderful way for small and mid-sized businesses in St. Louis County, MO to attract and hold onto employees, encourage great production, and receive those much-needed tax breaks. Correct Capital Wealth Management has been connecting businesses with dependable 401(k) companies in St. Louis County, MO for over 20 years. Call us today at 877-930-4015 or contact us online to discover more about how Correct Capital can help your St. Louis County, MO business and your employees prosper.
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 assets held in the United States, as reported by 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 as an employee benefit, and more than one-third have no present intentions to do so. An additional study found that a 401(k) plan is the only instrument many Americans have for saving for retirement.
The J.P. Morgan survey stated that the most common incentive for employers to research 401(k) companies and offer a plan was to incentivize their employees to put money aside responsibly for retirement. In order to do this effectively for your best employees, it is important to reach out to a trusted, independent retirement planning advisory firm like Correct Capital based in St. Louis County, MO.
There are numerous benefits to utilizing Correct Capital's 401(k) services. Correct Capital partners with many dependable and safe 401(k) companies to put forward for you and your employees the retirement solutions that serve your needs and specific situation. Specific plans work better for certain companies, and our St. Louis County, MO 401(k) advisors help determine the preferred 401(k) company and plan for you and your employees. As an independent advisory firm, there is no restraint to which 401(k) companies we can work with . From offering financial planning education, guiding individual employees on retirement planning, and helping you understand 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.
Benefits of Offering a 401(k) Plan | St. Louis County, MO 401(k) Companies
The advantages 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 business was not bringing in enough earnings. 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) advisors at Correct Capital will compile a comprehensive guide to the many benefits certain programs will have for you. Among them are:
Recruiting and Retaining Talent | St. Louis County, MO 401(k) Companies
We're in the middle of the Great Resignation; a recent survey found that 55% of Americans anticipated looking for a new job in 2021 and 2022. Workers feel 45% more at-ease about their retirement when their employer provides a retirement plan. What better way to hang on to your best employees than assuring them that you care about their financial security, even after they've moved on?
Incentivizing Employees | St. Louis County, MO 401(k) Companies
Many St. Louis County, MO companies give greater contributions when particular performance goals are met. Incentivizing a 401(k) plan, for example, offering a Profit-Sharing Contribution Plan, can be an excellent way to keep your best employees motivated to continue their production.
Plan Startup Tax Credits | St. Louis County, MO 401(k) Companies
Small and medium companies are able to get a tax credit for plan startup expenses if they fulfill three requirements stipulated by the IRS:
- You had under 100 employees who were paid 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 obtainable for up to three years, and there is a further tax credit for attaching an automatic enrollment feature to a new or existing 401(k) plan.
Additional Tax Advantages
In addition to the startup tax credit, the IRS offers two other tax benefits for sponsoring a 401(k) plan:
- Employer contributions are tax-deductible to to the point that they do not exceed 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 comprehensive tax planning services to St. Louis County, MO businesses. We'll strive to lower your tax liability as part of our 401(k) services.
Employee Education
One of the features that makes Correct Capital different from other 401(k) consultants in St. Louis County, MO is that we offer financial planning as a perk to your participating staff. With group education meetings, we'll make sure your employees know the ideal investment options for themselves, know how your 401(k) program works, and recognize how it's helping them. We can also have one-on-one meetings to discuss 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. Louis County, MO 401(k) Companies
The St. Louis County, MO 401(k) advisors at Correct Capital can help your business implement a variety of different plans through several different 401(k) companies. The most common plans are:
- Traditional 401(k) Plans: This is an employer-sponsored program that offers a range of investment options. Employers are able to match what their employees put in. Taxes are paid when the savings and gains 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 obtained in the plan, such as interest, dividends, or capital gains, is tax-free when the individual withdraws funds after continuing 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 looking for a cost-effective 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. However, the employer must make either:
- A matching contribution of no more than 3% of a worker'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 the employer is required to make contributions that are fully vested when made. In consideration of for required contributions, the IRS does not carry out its annual nondiscrimination tests.
When we first meet with you, we'll get to know your St. Louis County, MO company and your employee's retirement needs to find the best type of 401(k) plan for you.
Other services we offer in St. Louis County, MO include:
- Succession Planning
- 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
The Correct Capital Difference | St. Louis County, MO 401(k) Companies
Correct Capital is unique among St. Louis County, MO 401(k) advisors because we provide the degree of individualized care as smaller financial firms, but couple it with the same wisdom, accomplishment, and connections as larger firms. We provide independent and objective advice, always with your best interest in mind; as an Accredited Investment Fiduciary®, it's our legal and ethical obligation to do so. Our retirement consultants have been trusted to introduce companies to 401(k) companies for more than two decades and at present we 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.
