Senior Asset Protection Services,
Norman Williams

senioraps@verizon.net
Registered Financial Consultant, CSA, SRES


Qualified Plans



Among the numerous benefits of owning a business is the ability to take advantage of tax-favored options to save for retirement. One highly attractive option is sponsoring a qualified plan which may be designed to drive a substantial portion of the benefits to you. It’s a simple way to shift business dollars to you when planning for retirement.



Qualified Plans Businessman
 

SEP – Simplified Employee Pension Plan


Business owners looking for last minute tax deductions would be wise to consider a Simplified Employee Pension or SEP.
A SEP is a retirement plan established by employers or the self-employed. As an IRA-based plan, business owners may make tax-deductible contributions on behalf of eligible employees and/or themselves.

The advantages of Simplified Employee Pension Plans

• Defined benefit at retirement
• Potential for the largest possible tax deductible contributions
• Potential for substantial retirement savings within short time frame
• Affords you the flexibility of deciding each year

Small businesses looking for an inexpensive employee benefit program will be most likely to find SEPs an attractive option. Sole proprietors, partnerships, and corporations, including S corporations, can set up SEPs.







401(k) Plans


Though there are numerous defined contribution plan options, the most well-known profit sharing plan type is the 401(k).
Business owners seeking an inexpensive employee benefit program will find 401(k) plans an attractive option. Companies of any size can establish 401(k) plans, including corporations, sole proprietorships, partnerships and nonprofits.

The advantages of 401(k) plans

• Allows you to change the plan contribution each year or even decide not to make a contribution in certain years
• You can establish eligibility requirements that employees must meet to receive a contribution
• Can be designed to favor select employees, including you

 

Defined Benefit Cash Balance

A cash balance plan is a retirement plan providing a benefit defined as a participant account comprised of contribution credits and interest credits.

The advantages of a Defined Benefit Cash Balance Plan

• Easy to understand accounts
• Contributions may be significantly greater than a defined contribution plan
• Able to give employees different contribution credits
Cash Balance Plans are an appropriate choice for any size company. Corporations, sole proprietorships, partnerships and nonprofits may establish a defined benefit cash balance plan.







Defined Benefit 412(e)(3)


412(e) (3) pension plans provide a specified monthly benefit for eligible retirees funded exclusively with life insurance and annuity contracts.
Defined Benefit 412 (e) (3) Plans are appropriate for very small employers and may be established by corporations, sole proprietorships, partnerships and nonprofits.

Advantages of this type of plan

• Defined benefit at retirement
• Potential largest possible tax deductible contributions
• Potential substantial retirement savings within short time frame