401(k) Companies in Sunset Hills, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Sunset Hills, MO. Initiating a 401(k) plan with dependable 401(k) advisors is an excellent way for small and mid-sized businesses in Sunset Hills, MO to appeal to and hold onto employees, incentivize great work, and obtain those much-needed tax breaks. Correct Capital Wealth Management has been connecting employers with trustworthy 401(k) companies in Sunset Hills, MO for over two decades. Call us today at 314-930-401(k) or contact us online to find out more about how Correct Capital can help your Sunset Hills, MO business and your employees flourish.
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 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 50% of all employers in the United States with under 50 employees provide a 401(k) plan to their employees, and over one-third have no current plans to do so. Another study found that a 401(k) plan is the only avenue many Americans have for putting money aside for retirement.
The J.P. Morgan survey found that the most common incentive for employers to inquire about 401(k) companies and offer a plan was to incentivize their employees to put money aside conscientiously for retirement. In order to do this successfully for your prized employees, it is important to consult a trusted, independent retirement planning advisory firm like Correct Capital based in Sunset Hills, MO.
There are numerous benefits to using Correct Capital's 401(k) services. Correct Capital partners with many dependable and secure 401(k) companies to offer you and your employees the retirement solutions that are in your needs and specific circumstances. Specific plans are more apt for certain businesses, and our Sunset Hills, MO 401(k) advisors help determine the preferred 401(k) company and plan for you and your employees. As independent advisors, there is no restriction to which 401(k) companies we can work with . From offering financial planning education, advising individual employees on retirement planning, and assisting you understand how to best carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are an indispensable part of any 401(k) plan.
Benefits of Offering a 401(k) Plan | Sunset Hills, MO 401(k) Companies
The benefits of offering retirement planning to workers through 401(k) companies are clear. Almost 40% of employers who did not offer 401(k) plans gave their reason as being that their company was not bringing in sufficient revenue. But there are many reasons why setting up a 401(k) plan for your employees might end up being best for your bottom line. The 401(k) consultants at Correct Capital will compile an extensive guide to the myriad benefits certain programs will have for you. Among them are:
Recruiting and Retaining Talent | Sunset Hills, MO 401(k) Companies
We're enduring the Great Resignation; a recent survey stated that 55% of Americans anticipated looking for a different job in 2021 and 2022. Workers are 45% more assured about their retirement when their employer offers a defined contribution plan. What better way to hang on to your hardest working employees than assuring them that their financial well-being matters to you, even after they've left the workforce?
Incentivizing Employees | Sunset Hills, MO 401(k) Companies
Many Sunset Hills, MO businesses give higher contributions when their employees accomplish specific 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 sustain their production.
Plan Startup Tax Credits | Sunset Hills, MO 401(k) Companies
Small and medium companies can collect a tax credit for plan startup expenses if they meet three requirements dictated by the IRS:
- You had under 100 workers who received at least $5,000 in compensation from you the previous year.
- You had at least one plan participant who was a non-highly compensated employee.
- Your company 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 a maximum of three years, and there is an additional tax credit for attaching an automatic enrollment feature to a new or extant 401(k) plan.
Additional Tax Advantages
Besides the startup tax credit, the IRS offers two additional tax benefits for having 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 advantage of tax deferral until distribution.
One of the things that sets Correct Capital apart from other 401(k) consultants in Sunset Hills, MO is that we offer financial planning as a benefit to plan participants. With group education meetings, we'll ensure your employees recognize the best investment opportunities for themselves, are aware of how your 401(k) plan functions, and see how it's serving 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 | Sunset Hills, MO 401(k) Companies
The Sunset Hills, MO 401(k) consultants at Correct Capital can help your companies initiate many different plans through several different 401(k) companies. The most common plans are:
- Traditional 401(k) Plans: This is an employer-sponsored plan that offers a range of investment options. Employers can equal what their employees put in. Taxes are deducted 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. Gains earned in the plan, such as interest, dividends, or capital gains, is tax-free when the individual withdraws money after preserving the account for 5 years and they are 59-½ years old or older.
- SIMPLE 401(k) Plans: These plans are specially for small businesses looking for a cost-effective way to offer their employees a retirement plan. Similar to a traditional 401(k) plan, you may take money out of an employee's paycheck as their contribution. But, the employer must make either:
- An equal contribution of no more than 3% of an employee's earnings; or
- A non-elective contribution of 2% of a staff members earnings.
- 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 return for required contributions, the IRS does not conduct its yearly nondiscrimination tests.
When we first meet with you, we'll gain an understanding of your Sunset Hills, MO business and your employee's retirement needs to offer the ideal type of 401(k) plan for you.
Other services we offer in Sunset Hills, MO include:
- Financial Advisor
- Asset Management
- Retirement Consultant
- Financial Portfolio Management
- 401(k) Rollover
- Financial Advice
- Retirement Planning Services
The Correct Capital Difference | Sunset Hills, MO 401(k) Companies
Correct Capital stands out among Sunset Hills, MO 401(k) advisors because we offer the degree of individualized care as smaller financial firms, but couple it with the same knowledge, professionalism, and partnerships as larger firms. We provide independent and objective direction, always with your best interest at heart; as an Accredited Investment Fiduciary®, it's our legal and ethical duty to do so. Our retirement consultants have been trusted to connect businesses to 401(k) companies for over two decades and presently represent over $230 million in total plan assets nationwide. Call us at 314-930-401(k) or contact us online to talk over your 401(k) needs today.