IRA / ROTH IRA / ESA · SEP · SIMPLE IRA · Standard 401(k) · Mini 401(k) · ROTH 401(k)
Hybrid Pension Retirement Plans · Profit Sharing · Defined Benefit  & 412(i) Defined Benefit (Insurance Funded) &
403(b) TSA

We provide design and implementation services for all forms of Pension and/or Retirement Plans, in conjunction with many of the nations leading sponsors and Administrators.

A Brief Overview of What Retirement Plans Are and the Various Types:

Retirement Plans are generally referred to as either Qualified or Non-Qualified Plans, meaning that they either do or do not come under the rules, regulations, requirements and protections of ERISA (the Employee Retirement Income Security Act of 1974).

The reason that plans subject to ERISA are asset protected, is because there is a Trust created to assure the benefits of a Plan and employees interests in those Plans. The assets for Plans of a one-person company, or an owner-only company, may not enjoy the same level of protection as if the business also had multiple employees, as the primary thrust of any asset protection afforded under ERISA Qualified Plans is for the covered employees rather than owners or principles.

Non-ERISA Covered Plans (“Non-Qualified”) are generally not asset protected from creditors and function under a Custodial structure. Examples include a: Traditional IRA (only Rollover IRAs from ERISA covered Plans are asset protected from litigation, whereas Contributory IRAs are not); ROTH IRA; SIMPLE; SEP (Simplified Employee Pension – a variation of an IRA); 403b/TSA (these plans are an evolving area and it is uncertain as to whether or not they may fall under the asset protection of ERISA. They are moving towards being the same as ERISA covered 401k Plans. A 403b with employer contributions is likely to fall under ERISA, but employee salary deferral 403b Plans are not); etc.

ERISA Covered Plans (“Qualified”) are generally asset protected from creditors and function under a Trustee structure. Examples include a: 401k Group & Single Employer 401k Plans; Money Purchase; Profit Sharing (New Comparability); Defined Benefit; 412(e)3 Defined Benefit Plans (historically best known as 412i Plans – fully guaranteed and funded with either a Fixed Annuity, Whole Life Insurance or a combination of the two).

Please contact us for your specific needs at: 1.800.482.5347.

Click on any of the following Pension/Retirement Plan names for more detailed explanations of each type (Links are N/A at this time – PLEASE CALL US TO DISCUSS A PLAN THAT IS RIGHT FOR YOU:

IRA/ROTH IRA/ESA

SEP

SIMPLE IRA

Mini 401(k)

ROTH 401 (k)

Profit Sharing

412(i) Defined Benefit

403(b) TSA

Hybrids

IRS Retirement Plan Limitations for all 401(k), 403(b), Profit Sharing & Defined Benefit Plans

 

Qualified Plan Limitations (numbers are yearly adjusted).

2015 (sample year)

 

DEFERRAL LIMITS
Elective Deferrals Limit for 401k, 403b, 457
IRC 402(g)
$18,000  
Catch-up Contributions – IRC 414(v) $6,000  
BENEFITS & COMPENSATION
Annual Additions for Defined Contribution Plans IRC 4159(c) $53,000  
Limit on Annual Benefits for Defined Benefits Plans IRC 415(b) $210,000  
Annual Compensation Limit – IRC 401(a)(17) $265,000  
Highly Compensated Employee Threshold
IRC 414(q)
$120,000  
Key Employee Limit – IRC 416(i) $170,000  
SIMPLE Retirement Plan Limit – IRC 408(p) $12,500  
SOCIAL SECURITY/MEDICARE
Social Security (Taxable) Wage Base (Old Age & Survivors) $118,500  
 Taxable Wage Limit  NONE  

See Here for Current Year and Upcoming Tax Year Updated Figures
See Here for Current Amount of Wages Subject to Social Security Taxation

 

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