Why have a small business retirement plan?
Compelling reasons for you business to have a retirement plan:
- Retirement plans help secure the future of employees and owners.
- Provides a primary way for employees to save for retirement.
- Assists in attracting in attracting and keeping good employees making your business more competitive.
- Potential tax benefits (plan contributions for business owner are deductible as a business expense).
Retirement plans that small-business owners may consider
- Simplified Employee Pension Plan (SEP IRA)
- Savings Incentive Match Plan for Employees (SIMPLE IRA)
- Self-Employed 401(k) plan
- 401(k) plan (better for larger companies given setup costs, administration, fiduciary responsibilities, etc.)