401(k) Companies in Town and Country, MO
A Great 401(k) Plan Benefits You and Your Employees
401(k) Companies in Town and Country, MO. Establishing a 401(k) plan with trusted 401(k) advisors is a wonderful way for medium and small businesses in Town and Country, MO to draw and retain employees, encourage great performance, and get those much-desired tax breaks. Correct Capital Wealth Management has been connecting employers with trusted 401(k) companies in Town and Country, MO for more than two decades. Call us today at 314-930-401(k) or contact us online to learn more about what Correct Capital can do for your Town and Country, MO business and employees.
As of 2020, defined-contribution (DC) plans such as 401(k)s comprise $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 under 50 employees offer a retirement plan to their employees, and over a third have no current intentions to do so. Another study found that a 401(k) plan is the only vehicle many Americans have for saving for retirement.
The J.P. Morgan survey stated that the most frequent incentive for employers to research 401(k) companies and offer a plan was to incentivize their employees to save responsibly for retirement. In order to do this fruitfully for your prized employees, it is critical to consult a trustworthy, independent retirement planning advisory firm like Correct Capital based in Town and Country, MO.
There are various advantages to using Correct Capital's 401(k) services. Correct Capital partners with many trusted and secure 401(k) companies to bring you and your employees the retirement solutions that serve your best interests and unique circumstances. Certain plans work better for certain businesses, and our Town and Country, MO 401(k) advisors help pick out the best 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 assisting you understand how to best carry out a great 401(k) policy as an employer, Correct Capital’s 401(k) advisory services are a vital facet of any 401(k) plan.
Advantages of Offering a 401(k) Plan | Town and Country, MO 401(k) Companies
The advantages of providing retirement planning to staff through 401(k) companies are clear. Thirty-nine percent of employers who did not offer 401(k) plans gave their reason as being that their business was not bringing in enough income. But there are countless reasons why initiating a 401(k) plan for your employees could be best for your bottom line down the road. The 401(k) consultants at Correct Capital will compile a comprehensive guide to the myriad advantages certain plans will have for you. Among them are:
Attracting and Retaining Talent | Town and Country, MO 401(k) Companies
We're enduring the Great Resignation; a recent survey stated that 55% of Americans thought they would search for a different job in 2021 and 2022. Workers are 45% more confident about their retirement when their employer has a 401(k) plan. What better way to retain your hardest working employees than assuring them that their financial well-being matters to you, even after they've moved on?
Incentivizing Employees | Town and Country, MO 401(k) Companies
Many Town and Country, MO companies offer greater contributions when specific performance goals are met. Incentivizing a 401(k) plan, for example, offering a Profit-Sharing Contribution Plan, can be a great way to keep your employees' motivation high and to sustain their production.
Plan Startup Tax Credits | Town and Country, MO 401(k) Companies
Small and medium companies are able to obtain a tax credit for plan startup expenses if they fulfill three requirements dictated by the IRS:
- You had 100 or fewer workers who collected 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 benefiting substantially the same employees during the three years preceding the year for which you are claiming credit.
The tax credit is accessible for a maximum of three years, and there is another tax credit for attaching an automatic enrollment feature to a new or extant 401(k) plan.
Further Tax Advantages
Other than the startup tax credit, the IRS offers two extra tax benefits for implementing a 401(k) program:
- Employer contributions are tax-deductible to the extent that the contributions do not surpass 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 features that makes Correct Capital different from other 401(k) advisors in Town and Country, MO is that we offer financial planning as a service to your participating employees. With group education gatherings, we'll make sure your employees understand the best investment opportunities for themselves, understand how your 401(k) plan functions, and understand how it's serving them. We can also have one-on-one sessions to go through financial portfolio and asset management with individual workers. When you hire a new employee that had a 401(k) plan with their prior company, we can offer assistance with their 401(k) rollover.
Types of 401(k) Plans | Town and Country, MO 401(k) Companies
The Town and Country, MO 401(k) consultants at Correct Capital can help your business set up 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 includes numerous investment options. Employers are able to equal what their employees put in. Taxes are taken out when the savings and earnings are withdrawn.
- Roth 401(k) Plans: Roth plans are analogous traditional plans, with the exception contributions are made with money you have already paid taxes on. Gains made in the plan, such as interest, dividends, or capital gains, is tax-free when the employee withdraws funds after maintaining the account for 5 years and they are at least 59-½ years old.
- SIMPLE 401(k) Plans: These plans are specially for small businesses who need a cost-effective way to offer their employees a retirement plan. 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:
- A matching contribution of no more than 3% of a worker's pay; 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 must make contributions that are fully vested when made. In exchange for 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 Town and Country, MO company and your employee's retirement needs to find the ideal type of 401(k) plan for you.
Other services we offer in Town and Country, MO include:
- Retirement Planning
- Rollover 401(k)
- Wealth Management
- Financial Advisor
- Asset Management
- Retirement Consultant
- Financial Portfolio Management
- 401(k) Rollover
- Financial Advice
The Correct Capital Difference | Town and Country, MO 401(k) Companies
Correct Capital stands out among Town and Country, MO 401(k) advisors because we offer the level of personalized care as smaller financial firms, but couple it with the same wisdom, accomplishment, and connections 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 responsibility to do so. Our retirement consultants have been trusted to introduce companies 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.