Creating Business Plan. 401ks are not the only retirement strategy option for small businesses -- IRA-based alternatives exist. These types of alternatives should be considered when a company does not need the key virtues of the 401k plan - higher contribution limits and style flexibility - but desires to help employees save with regard to retirement. Like a 401k program, these alternatives offer automated payroll deduction, making retirement life savings easy.
With their money balance plan -- that guarantees an annual return associated with 4%, compounded over 30 years for your youngest participants -- Smouse's partners realized they could take pleasure in significant retirement benefits along with tax savings now as well as little risk later. Creating Business Plan Therefore in 2009, the group caused actuaries at Jacksonville, Fla. -based Dorsa Consulting to determine their plan.