Eligible Employees

Businesses that employ owners, their spouses, and have no other employees who will be eligible to participate (includes corporations, partnerships, sole proprietors and limited liability companies)

Plan Establishment Deadline

Company tax year end

Eligibility

Age 21, no service requirement, immediate entry

Investment Options

You choose any investment* within a single custodian account at the financial institution of your choice

Valuable Features

Open Investment Options
Loan 50% of vested balance not to exceed $50,000
No discrimination testing
Consolidate assets from IRA's, other 401's, etc.

Salary Deferral Contributions

Up to $15,500 or $20,500 is age 50 or older (not to exceed 100% of compensation)**

Participants can elect to make “pre-tax” or “Roth after-tax” contributions. The contributions can split between the pre-tax and Roth after-tax, however, the aggregate contributions must not exceed the elective deferral limit.

Catch-Up Contributions

Participants age 50 or older may contribute an additional $5,000 in salary deferrals beyond the $15,500, which does not count towards the overall contribution limit of $46,000

Employer Contributions

Up to 25% of compensation (earned income for self-employed)** or maximum $46,000 (total of salary deferral and employer contributions)

Rollovers

Rollovers are allowed from traditional IRA's. SEP, SIMPLE***, profit sharing, defined benefit, 401(k), 401(b) and governmental 457 plans

Loans

Available (subject to IRS Guidelines) to all participants, including unincorporated business owners

Withdrawals

Limited to distributable events such as retirement, death or disability

Set-up Charge

Plan Document and Adoption Agreement: $175 (deductible)
Spouse/Additional owner: additional $100

Annual Maintenance Charge:

Maintain Qualified Status of Plan : $400 annually (deductible)
Spouse/Additional Owner: additional $100

Additional Services

Distributions: $60
Loan Fee $250 per loan set-up
Additional Contribution Calculations: $200 per hour (1 hr min)
Trust Accounting: $200 per hour (1 hr. min)
Roth Source: $200