Who can benefit from a Defined Benefit Plan?
Ideal Candidates: • Self-employed individual with no employees: any age • Business owners age 45-60 with up to ten employees • Business with less then 3 principals • Business owners who can contribute more than $60,000 annually ( inclusive of the current retirement plan savings) • Business owners willing to provide some staff benefits • Business with a consistent profit and available surplus • Business owner who wishes to increase tax-favored savings without exposing the corporation or the business owner to unnecessary IRS reviews. • Business owner who wishes to maximize utilization of ERISA protection from Judgement creditors Why consider a Defined Benefit Plan Solution? • No risk Pension Feasibility Study ( no cost if 10 employees or less) • Highest allowable deductable contributions to a qualified plan $100,000 or more • Annual tax savings of $40,000 or more (depending on the amount of the contribution) • Tax Deferral on contributions and earnings • Payroll tax savings: contribution
