401(k) Companies in St. Louis Hills, MO
401(k) Companies in St. Louis Hills, MO. Initiating a 401(k) plan with dependable 401(k) advisors is a wonderful way for small and mid-sized companies in St. Louis Hills, MO to draw and retain employees, incentivize great production, and obtain those much-needed tax breaks. Correct Capital Wealth Management has been introducing employers to trusted 401(k) companies in St. Louis Hills, MO for more than 20 years. Call us today at 314-930-401(k) or contact us online to find out more about how Correct Capital can help your St. Louis Hills, MO business and your employees flourish.
As of 2020, defined-contribution (DC) plans like 401(k)s comprise $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 companies in the United States with less than 50 employees provide a 401(k) plan as an employee benefit, and over one-third have no current intentions to do so. An additional study found that a 401(k) plan is the only avenue many Americans have for saving for retirement.
The J.P. Morgan survey found that the most frequent 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 valued employees, it is essential to consult a trustworthy, independent retirement planning advisory firm like Correct Capital based in St. Louis Hills, MO.
There are countless advantages to using 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 are in your needs and individual circumstances. Specific plans are more appropriate for certain companies, and our St. Louis Hills, MO 401(k) advisors help identify the preferred 401(k) company and plan for you and your employees. As independent retirement consultants, there is no restraint to which 401(k) companies we can work with . From offering investment education, counseling individual employees on retirement planning, and helping you maneuver how to best execute a great 401(k) policy as an employer, Correct Capital’s 401(k) consultant services are a crucial part of any 401(k) plan.
Benefits of Offering a 401(k) Plan | St. Louis Hills, MO 401(k) Companies
The benefits of offering retirement planning to staff through 401(k) companies are clear. Almost 40% of employers who did not offer 401(k) plans said that their company was not generating enough revenue. But there are many reasons why setting up a 401(k) plan for your employees could end up being best for your bottom line. The 401(k) consultants at Correct Capital will put together an extensive guide to the myriad benefits certain plans will have for you. Among them are:
Attracting and Retaining Talent | St. Louis Hills, MO 401(k) Companies
We're going through the Great Resignation; a recent survey discovered that 55% of Americans anticipated searching for a different job in 2021 and 2022. Workers are 45% more confident about their retirement when their employer has a retirement plan. What better way to hang on to your best employees than letting them know you care about their financial health, even after they've moved on?
Incentivizing Employees | St. Louis Hills, MO 401(k) Companies
Many St. Louis Hills, MO businesses offer increased contributions when their employees reqach certain performance goals. Incentivizing a 401(k) plan, for instance, offering a Profit-Sharing Contribution Plan, can be an effective way to keep your best employees motivated to keep up their production.
Plan Startup Tax Credits | St. Louis Hills, MO 401(k) Companies
Small and medium companies can collect a tax credit for plan startup costs if they fulfill three requirements dictated by the IRS:
- You had 100 or fewer workers who were paid 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 business did not already have a retirement plan covering substantially the same employees during the three years preceding the year for which you are claiming credit.
The tax credit is obtainable for up to three years, and there is an additional tax credit for adding an automatic enrollment feature to a new 401(k) plan or one you already had.
Additional 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 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 benefit of tax deferral until distribution.
Correct Capital's financial advisors also offer extensive tax planning services to St. Louis Hills, MO companies. We'll strive to reduce your tax liability as part of our 401(k) services.
Employee Education
One of the features that sets Correct Capital apart from other 401(k) consultants in St. Louis Hills, MO is that we offer financial planning as a perk to your participating staff. Through group education meetings, we'll ensure your employees recognize the best investment opportunities for themselves, know how your 401(k) plan works, and see how it's benefiting them. We can also have one-on-one sessions to talk over financial portfolio and asset management with individual staff. When a new member joins your team and they had a 401(k) plan with their old company, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | St. Louis Hills, MO 401(k) Companies
The St. Louis Hills, MO 401(k) consultants at Correct Capital can help your business set up 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 plan that includes a wide array of investment options. Employers can match their employees' contributions. Taxes are paid when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are analogous traditional plans, other than the fact that contributions are made with money you have already paid taxes on. Gains obtained 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 59-½ years old or older.
- SIMPLE 401(k) Plans: These plans exist specifically for small businesses looking for a cost-efficient way to offer their employees retirement benefits. Similar to a traditional 401(k) plan, you can take money out of an employee's paycheck as their contribution. However, the employer must make either:
- A matching contribution of up to 3% of an employee's pay; or
- A non-elective contribution of 2% of a worker's pay.
- Safe Harbor 401(k) Plans: Safe Harbor plans are much the same to regular 401(k)s, other than the fact that they must include employer contributions that are fully vested when made. In return for required contributions, the IRS does not perform its yearly nondiscrimination tests.
When we first meet with you, we'll gain an understanding of your St. Louis Hills, MO company and your employee's retirement needs to offer the best type of 401(k) plan for you.
Other services we offer in St. Louis Hills, 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 | St. Louis Hills, MO 401(k) Companies
Correct Capital stands out among St. Louis Hills, MO 401(k) advisors because we provide the degree of personalized attention as smaller advisory firms, but pair it with the same savvy, professionalism, and partnerships as larger firms. We provide independent and objective advice, always with your best interest at heart; as an Accredited Investment Fiduciary®, it's our legal and ethical responsibility to do so. Our retirement consultants have been trusted to introduce businesses to 401(k) companies for more than 25 years and presently 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.
