Within the category of 401(k) plans, there are a number of plan options. Which plan is best for your business?

Within the category of 401(k) plans, there are a number of plan options. Which plan is best for your business?

Traditional 401(k)

Does not require you to make a matching contribution, but it could limit how much you can defer.

Safe Harbor 401(k)

Does require you to make a matching or non-elective contribution, but it will enable you to defer the maximum allowed by law. With auto enrollment, employees are automatically enrolled and must elect not to participate if they do not want to defer. Auto enrollment can help increase the participation in the plan.

Solo 401(k)

Available for businesses that do not have eligible employees. This plan allows the business owner, and key/highly compensated employees, to make elective salary deferrals as well as employer profit sharing contributions. These plans can also be combined with a Defined Benefit plan to get the maximum tax-deductible contribution allowed by law.

Traditional 401(k)

Does not require you to make a matching contribution, but it could limit how much you can defer.

Safe Harbor 401(k)

Does require you to make a matching or non-elective contribution, but it will enable you to defer the maximum allowed by law. With auto enrollment, employees are automatically enrolled and must elect not to participate if they do not want to defer. Auto enrollment can help increase the participation in the plan.

Solo 401(k)

Available for businesses that do not have eligible employees. This plan allows the business owner, and key/highly compensated employees, to make elective salary deferrals as well as employer profit sharing contributions. These plans can also be combined with a Defined Benefit plan to get the maximum tax-deductible contribution allowed by law.

Enjoy the flexibility of choosing from different 401(K) plan, while still allowing your employees to save money for their retirement.