Plan Types

401(k) Plan

This well-known, specialized type of Profit Sharing plan allows your employees to contribute on a pre-tax (or after-tax “Roth”) basis. Employers may or may not match a percentage of the employee contribution. Employer Discretionary Profit Sharing contributions may also be made.

Profit-Sharing

This type of plan allows for the most flexible, discretionary contribution each year. A “New Comparability” Profit Sharing plan may allow contributions to be heavily weighted toward older, higher paid owners/ employees.

Employee Stock Ownership Plans

(ESOPs) can be a very powerful planning tool for business owners as well as an important employee motivational benefit. ESOPs offer unique tax planning opportunities.

Defined Benefit Plans

These traditional plans are designed to provide a specific benefit at retirement. The amount of funding needed to produce the benefit is actuarially determined each year. Defined Benefit Plans can typically allow the largest contribution/ benefits of any Qualified Plan Design.

Cash Balance Plans

A cash balance plan is a Defined Benefit plan, funded solely by the Employer. The plan maintains hypothetical individual participant accounts for each participant.

Money Purchase

These plans are designed to provide a specific contribution for each eligible employee each year, at a fixed contribution formula.

Tax Sheltered Annuity 403(b)

Certain tax-exempt organizations may sponsor these programs which permit employees to contribute on a pre-tax (or after-tax “Roth”) basis; the employer may provide matching and discretionary contributions as well.

Section 457

A deferred compensation arrangement for governmental and other tax-exempt entities (457(b)). A select group of management or highly compensated employees may defer compensation under a 457(f) program.

Non-Qualified Executive Deferred Compensation

This kind of plan will permit the employer to provide supplemental retirement benefits to a select group of management or highly compensated employees. These arrangements may also permit deferral of compensation by the executive on an income-discriminatory basis.

Cafeteria/Section 125/HRA

Plan document preparation.