Frequenty Asked Questions
Q: Do I have to be a large company to offer a 401(k) plan?
A: Not at all. Plans can be tailored for small businesses, even solo entrepreneurs. There are scalable options available based on your company size and goals.
Q: What’s involved in setting up a retirement plan for my business?
A: You'll choose a plan type, decide on employer contributions (if any), and select investment options. The process includes plan design, setup, and ongoing administrative support.
Q: Can you review our current 401(k) plan to see if it's competitive?
A: Yes. We offer plan reviews to evaluate fees, investment options, plan design, and overall value so the plan aligns with your company’s needs.
Q: What types of plans can you help with besides a 401(k)?
A: We can support 403(b), SIMPLE IRAs, SEP IRAs, Solo 401(k)s, and more. It depends on your business structure and retirement goals.
Q: Do you provide employee education?
A: Yes. Helping employees understand their retirement benefits is key. Education and communication strategies are available to boost participation and engagement.
Q: What are the benefits of offering a 401(k) to employees?
A: A 401(k) helps attract and retain talent, improves employee satisfaction, and provides valuable tax advantages for both employees and employers. It’s one of the most effective ways to support your team’s financial future.
Q: Are there tax benefits for employers who sponsor a retirement plan?
A: Yes. Employers may qualify for tax credits to offset startup costs when launching a new plan, as well as tax deductions for contributions made on behalf of employees. These benefits may make offering a plan more affordable than many business owners realize.
Q: Can owners and highly compensated employees benefit from a 401(k)?
A: Absolutely. A well-structured plan allows business owners and key employees to maximize their own retirement savings while also providing benefits to the rest of the team.
Q: What if my employees don’t participate?
A: Participation often increases with proper education and plan design. Automatic enrollment, matching contributions, and ongoing employee workshops can significantly boost engagement. We provide strategies to encourage employees to take advantage of the benefit.
Q: What’s the difference between a 401(k) and other small business plans like a SEP IRA or SIMPLE IRA?
A: A 401(k) generally allows for higher contribution limits and greater flexibility in plan design, but SEP and SIMPLE IRAs may work well for smaller teams or businesses just starting out. We help you compare options to choose the right fit.
Q: How often should a 401(k) plan be reviewed?
A: At least annually. Regular reviews ensure your plan remains competitive in terms of fees, investment options, and features. We recommend ongoing monitoring and adjustments as your business grows or regulations change.
Q: Do you offer education for business owners too?
A: Yes. We not only educate employees but also guide business owners on contribution strategies, tax benefits, and how their personal retirement goals tie into the company’s plan.
Q: Can a business with just one employee set up a retirement plan?
A: Yes. Solo 401(k)s and SEP IRAs are designed specifically for self-employed individuals or businesses with no employees other than the owner and spouse.
Q: What’s the biggest mistake business owners make with retirement plans?
A: The most common issues are not reviewing costs regularly, sticking with a plan that no longer fits the company’s needs, or failing to educate employees. We help business owners avoid these pitfalls with proactive support.
