So, the IRS updated key 401(k) contribution limits and there is good news not just for employees, but also the small business owners. Employees are allowed to save $500 more each year, which really adds up. For owners, the good news is that the threshold has been updated for highly compensated employees, and now stands at $120,000. This means that it may just make it easier for you to pass your non-discrimination tests this year!
You can now save more in taxes and possibly compensate top employees (including yourself) more.
Well, the only logical next step is to speak with us. Let’s talk shop!
David Ramirez, CFA, is a recognized 401(k) expert with over 20 years of experience in 401(k), ERISA, cash balance plans, and ESOPs. A UC Berkeley graduate, he played a pivotal role at Financial Engines, a 401(k) advisory firm founded by Nobel Laureate William Sharpe, Ph.D., where he was a portfolio manager who helped manage over $50B in 401(k) assets. His clients included some of the largest Fortune 500 companies and state governments.
Give your employees more than just a 401(k), join the movement.