Plain and Simple: Bright Business Insights Summer 2019 | Page 3

OPTIMIZE YOUR RETIREMENT PLAN TO MAXIMIZE RESULTS Six Reasons To Schedule Your Meeting With A Retirement Plan Specialist By October 1 If you’ve never taken the time to learn how valuable your retirement plan can be for your business, now is your chance. The following six reasons should be incentive to schedule a meeting to discuss your company’s retirement plan: 1. Your company does not have a retirement plan. Offering a retirement plan to your employees is more than a great recruitment tool – it can also help further your business’s profits. A retirement plan administration professional can explain further. 2. You have more than two employees with a SEP Plan. Time changes everything, which is why it’s a best practice to meet with a retirement plan specialist regularly to ensure that your plan still addresses the unique needs of your company in the most cost- effective way possible. If there are alternative options for your business, your retirement plan team will let you know, and will help you decide on a course of action and will guide you through the process. 3. You are a business owner who maximizes deferrals every year with a SIMPLE IRA. If this is the case, you might want to consider a Safe Harbor 401(k) plan in 2020 for additional tax deferral. SIMPLE IRAs do not offer the ability to defer Roth contributions, so upgrading to a Safe Harbor 401(k) plan will provide participants with the flexibility to defer income on either 5. You offer no profit-sharing option even though you maximize deferrals every year under your Safe Harbor 401(k). For these a pre-tax or after-tax basis. 4. business owners, a better plan design might be to maximize profit You receive corrective distributions every year and have a sharing contributions while limiting the amount that has to be 401(k). You could have a retirement plan designed that could provided to employees. Utilizing a  cross-tested profit sharing alleviate this problem as well as maximize the benefits your plan could save you money if the majority of your company’s company receives for actively participating in your employees’ employees are younger.   retirement strategy.    6. You max out your profit sharing plan every year. If this is the case, it’s likely time to add a cash balance option to your retirement plan. This is a great benefit for business owners because it allows for higher employer-contribution deductibles for owners. Speak with your retirement plan team to learn more. You want (and need) your SIMPLE IRA or Safe Harbor 401(k) plan to be effective in 2020, and it isn’t going to establish or adapt itself. Which is why now is the best time to implement or review your company’s retirement plan as the Oct. 1, 2019, deadline to make by: Steve Renner, QKA Principal 122 Fourth Street NW P.O. Box 1020 New Philadelphia, OH 44663 330. 308.6849 [email protected] changes is fast approaching. Working with a retirement plan specialist will not only ensure that you meet the deadline; they can help you determine whether you are missing out on new features, better service or a more cost-effective solution. Give me a call to learn how you can maximize the benefits of offering a plan at your company before the deadline passes you by.