Qualified Plans
Why Start a Qualified Retirement Plan for your Business?
There are 5 distinct reasons why you should consider starting a qualified retirement plan for your business:
- General Wealth Accumulation/Raising Your Living Standard
- Retirement Security
- Numerous Tax Advantages
- Skilled Employee Attraction & Retention
- Branding & Prestige
Qualified Plan Types
We can help you design and manage 2 common plan types:
Qualified Plan Fast Facts
Here are some qualified plan facts you may be interested to know:
- The personal savings rate for US individuals was 24.1% in 1942. It is now a meager .4%
- An astounding 32% of workers over age 45, are NOT currently saving for retirement
- 401(k) assets invested in "Lifecycle" or "Lifestyle" funds are rapidly becoming the preferred plan option choice.
- In the latest market decline from December 31st, 2007 to January 20th, 2009 workers tenured 30 years or more saw an average 401(k) balance decline of a whopping 30%. In our minds, the loss was mainly due to poor asset allocation for the age group.
- Education is closely correlated with retirement plan participation. Of workers making more than $50,000 dollars, 50.7% of those without a high school diploma made contributions to their retirement plans. By contrast 76.1% of those with a graduate degree participated.
(sources for the facts above can be found at http://www.ebri.org)
