When you started your small business, you poured most of your earnings back into the operation. Unfortunately, that didn't leave much cash for retirement savings. Now that your business is running smoothly, you may hope to make up for lost ground—and fast.
Typically, you must provide employees with retirement benefits that are equivalent to yours. If you ratchet up employer contributions to a qualified plan, you'll have to do the same for the rest of the work force.
Strategy: Set up a Section 412(i) plan. It provides a guaranteed retirement income funded by actuarially determined contributions that your company deducts. Best of all, the closer you get to retirement, the more you can personally benefit from the plan.
Benefit from a 412(i) plan
Section 412(i) plans have been around awhile, but they've taken a back seat to the 401(k). Still, Section 412(i) plans are a viable option for many business owners. ...(register to read more)
- Small Business Tax Deduction Strategies No matches