ESOP Advisor in Weldon Spring, MO

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ESOP advisor in Weldon Spring, MO. Employee stock ownership plans (ESOPs) have become an increasingly well-liked retirement benefit for employees in a variety of sectors in Weldon Spring, MO. They offer business owners an opportunity to transition from their company while substantially reducing taxes on the sale, and offer employees a tax-advantaged retirement plan that increases their productivity and motivation. However, designing, implementing, and maintaining an ESOP isn't something most Weldon Spring, MO business owners can do by themselves. Correct Capital's proficient and savvy ESOP advisors help businesses of all sizes, in Weldon Spring, MO and around the nation, develop tailored retirement plans that benefit themselves, their employees, and their profit.

If you're seeking a trustworthy financial partner in Weldon Spring, MO who shares your goals of creating your company and employees for long-term success, call Correct Capital at 877-930-4015, contact us online, or schedule an appointment with one of our financial advisors immediately.


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Correct Capital Wealth Management's office is physically located in St. Louis, MO, but we serve clients throughout the United States in both personal financial planning and corporate retirement plans.

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What Is an Employee Stock Ownership Plan (ESOP)?

An ESOP is a tax-advantaged retirement plan where employees receive shares of the company that employs them, rather than savings or investments in other companies as in a typical retirement plan. ESOPs are 100% company funded, and often times shares offered to employees are not controlling shares, meaning control of the company stays with ownership and other executives. They offer superb incentives to employees while providing businesses with an improved value proposition in the hiring process, and allow business owners to set up a succession plan while preserving control. Upon reaching retirement, most employees sell the stock at market value.

Of special interest to business owners, by transferring part of your ownership to the ESOP, owners can defer capital gains taxes, allowing you to distribute the tax consequences of the sale instead of being required to pay taxes at once. In many cases, ESOPs are a transition plan that keeps the most amount of money feasible in your pocket.

Benefits of an Employee Stock Ownership Plan

  • Sell a portion of your business (minimum 30%) with deferment of capital gains taxes (provided you reinvest into qualified replacement securities)
  • Extra tax deductions through contributions made to employees
  • If the business is one day 100% owned as an S-Corp by the ESOP, it's exempt from federal income taxes
  • Align the goals of employees and stockholders
  • Present a higher value proposition when hiring
  • Improve employee motivation and productivity
  • Boost employee retention and loyalty
  • Simplify succession planning and business continuity
  • Keep control while preparing or easing into retirement
  • Amplify personal liquidity of owners, but still retain control of the company
  • Carry on your business' legacy and culture

What About KSOPs?

A KSOP is a tax-advantaged plan that is a combination of an ESOP and a 401(k). Ownership shares are offered to employees as in an ESOP, employees can deposit their own money to acquire additional shares through payroll deductions, or the company can match employee contributions with stock instead of cash.

Setting up a stock ownership plan doesn't have to exclude your employees from the risk tolerance that comes with diverse investments. In fact, including an ESOP or KSOP to a more traditional retirement plan allows you to receive the benefits of both. The experienced Weldon Spring, MO ESOP advisors and retirement consultants of Correct Capital can assist you find the right plans for your business.

How Our Weldon Spring, MO ESOP Advisors Can Help

Whether you're moving on from control of your company or are interested in an ESOP's other benefits, you'll need an experienced Weldon Spring, MO ESOP advisory firm in your corner to reap the most benefits of your plan. When you work with Correct Capital, we:

  • Reduce your tax liability as much as possible — When you transfer your ownership shares to an ESOP, you can reinvest the proceeds in different securities to postpone capital gains taxes on the sales, permitting you to keep more of the sales proceeds for other purposes. To defer capital gains taxes, your ESOP advisor can help you execute a Section 1042 exchange by selling at least 30% of your company to the ESOP and reinvesting that money in qualified replacement securities or QRP. Taxes would be owed until the taxpayer has a sale of the QRP. An ESOP advisor can assure you receive the most tax benefit from your ESOP.
  • Personalize your ESOP and retirement plans — Along with your team, we'll develop and execute an ESOP suited specifically to you and your company. We like to test ourselves and our clients to get creative with retirement plan offerings to maximize the benefits they provide. We'll evaluate your needs, analyze several ESOP options, and propose a tailored ESOP that meets legal requirements and is aimed at maximizing benefits. If we believe it's a good idea, we may also advise combining an ESOP with a 401(k) or different retirement plans to further augment benefits, without sacrificing efficiencies.
  • Conduct a ESOP feasibility study — When we first meet with our clients, we work to comprehend their needs and work together with them to discover the best tax-advantaged retirement plans for their business. For clients looking at an ESOP, part of that means performing a feasibility analysis to ascertain if it's a workable option for your company. We'll examine:
    • Cash flow, debts, and overall financial health
    • Ownership structure to understand the implications of introducing an ESOP
    • Employee demographics to understand how they're best served
    • Tax implications for both your company and shareholders
    • Company culture and employee engagement to determine if an ESOP is likely to be well-received and supported

    What if your business isn't a great fit for an ESOP? We'll partner with you to find a retirement or succession plan that works for you.

  • Connect you with valuation firms and trustees — Implementing and maintaining an ESOP involves a lot of moving parts, including CPAs, lawyers, and a trustee to buy stock of the company on behalf of the ESOP. An experienced ESOP advisor with a strong network in Weldon Spring, MO can help you arrange your ESOP team with dependable partners.
  • Ensure compliance — IRS, Department of Labor, and ERISA all have strict guidelines for the oversight of employee stock ownership plans. For example, when ESOP participants at a closely held employer receive company stock in an ESOP distribution, they have the right to require the employer to repurchase them at market value.
  • ESOP sustainability assessments — In an ESOP, shares are granted to employees over time based on duration of service. Usually, that means ownership of the company is passed to the ESOP in phases. Depending on how you structure your company and the plan, your ESOP may start with 30%, but could ultimately achieve 100% ownership. As the plan evolves and matures, so will its implications for your company. ESOP advisors can plan for these changes and adapt to them in real time, allowing your plan to stay feasible, compliant, and advantageous.
  • Employee communication and education — Our ESOP advisors offer group sessions and personalized meetings with your employees so they can get the most from your retirement plan. With an ESOP advisor from Correct Capital, your employees won't just acquire a portion of your company, but they'll feel like they're achieving ownership of their financial health and eventual retirement.

Why Choose Correct Capital as Your ESOP Advisor in Weldon Spring, MO

Correct Capital is an independent advisory firm that specializes in helping business owners create retirement plans and succession plans for their companies. There are multiple factors we point to that make us unique from other investment advisory agencies in Weldon Spring, MO, and throughout the country:

  • A member of the National Association of Plan Advisors (NAPA), Correct Capital was recently named one of their Top Defined Contribution (DC) Teams with Assets under Advisement of at least $100 million. Correct Capital is the only advisory firm in Missouri to achieve this distinction.
  • We're experienced in retirement plans and ESOPs. Correct Capital's clients currently operate these plans in a variety of industries, including for construction companies and contractors. As we work with both businesses and individuals and families to aid in setting up retirement plans, we're ideally suited to understand the demands of each and create a plan that fulfills the necessities of both, as well as those of your stockholders.
  • Our award-winning Weldon Spring, MO financial advisory team is composed of a diverse range of financial expertise, including an Accredited Investment Fiduciary®, multiple CERTIFIED FINANCIAL PLANNER™ professionals, a certified public accountant, and a six-time Barron's Top 1200 Advisor. With over eight decades of combined experience, we pool our collective talents and insights to effectively cater to each client distinctively.
  • As independent fiduciary advisors, we are lawfully and ethically bound to do what's in the utmost benefit of you, your employees, and your company. We endeavor to forge long-term relationships with our clients based on trust and the common goal of expanding your and your employees' wealth.

Other services we offer in Weldon Spring, MO:

ESOP Advisor in Weldon Spring, MO | Retirement Consultants | Financial Advisors Near Weldon Spring

Call Correct Capital to Speak With an ESOP Advisor in Weldon Spring, MO Today

If you're interested in learning more about ESOPs or aspire to commence the process of setting one up for your Weldon Spring, MO business, get in touch with a Correct Capital ESOP advisor today. Let us do what we do best so you can concentrate on what you value most: positioning yourself, your business, and your employees up for success. Reach out with one of our Weldon Spring, MO ESOP advisors immediately at 877-930-4015 or contact us online.


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