Contribution Amounts and Benefits You Never Dreamed Possible!
Are you one of the following . . .
- An Owner/Professional seeking a higher contribution/tax deduction than the traditional 401(k) profit sharing maximum contributions limited to $57,000 to $63,500.
- Surgeon, Physician.
- Medical Group and Professional Firm.
- CPA or CPA Firm.
- Attorney or Law Firm.
- Highly Profitable Company of all types and sizes.
- Older Owner needing to squeeze 20 years of retirement saving into 5 to 10 years.
- Owner/Partners looking for a way to fund a buy-sell or stock redemption Agreement on a tax deductible basis.
- Wealthy Owner and Professional with Charitable Giving intentions stymied by the limitations on tax deductibility. In other words, your desire is to first, give more, then benefit from the Internal Revenue Code.
. . . then there’s good news for you!
The passage of the Pension Protection Act of 2006 (PPA) materially changed the landscape of tax-qualified plan design. It is unquestionably the best piece of retirement planning legislation for business owners in decades from a contributory, regulatory, and fiduciary perspective.
The Super 401(k) Plan™ Design combines the most current qualified plan law under the PPA 2006 for:
- Customized plan documentation
- Advanced, Conservative, Actuarial methods
- The comprehensive benefits of multiple Plan forms.
You can have a custom designed Tax-qualified plan to meet YOUR specific needs AND make substantial income tax-deductible contributions every year.
For example, the Super 401(k) Plan™ contributions for key employees (company owners) routinely reach $250,000 to $500,000+, but under the right set of facts and circumstances can exceed $1 million!
That’s a far cry from the traditional $57,000 to $63,500 contribution, especially for those with very high taxable income.
Your Custom Designed Tax-qualified Plan Can have any or all of the following:
- Profit Sharing
- Pension (retirement) Plan
- Safe Harbor
- Life Insurance
- 401(h) account
Life insurance in a qualified plan includes a death benefit; however, the cash value build up inside the policy can be withdrawn for income tax-free retirement.
The 401(h) account is named after the Section of the Internal Revenue Code, §401(h). The addition of this allowable component to your plan design can increase your pension contribution up to 133 1/3%.
The 401(h) account is a post-retirement individual medical expense reimbursement account for out-of-pocket medical expenses of retired employees and the spouses and dependents. In other words, medical expenses not covered by programs such as Medicare, Medicaid, Medicare Advantage, or a Supplemental Insurance policy. The IRS is very liberal on what can be reimbursed.
The 401(h) account can be one of the most important additions to a qualified plan. Not only is the health insurance industry in a quagmire, with little hope of improvement, but America is trending to Medicare for all. Should that ever happen, a retiree with savings in a 401(h) account could be a life saver, if not, at least have access to the care needed.
What you should do Next . . .
Contact Rick English. I’ll help you determine what’s right for you and design a Custom tax-qualified plan for your company or partnership.