By: Scott M. Cloud, MBA, CPC Including a safe harbor contribution provision in a 401(k) plan gives the plan an exemption to the actual deferral percentage (ADP) test that might otherwise limit the salary deferral contribution amounts of owners, family members of owners, and employees with gross annual wages of $135,000 or more (collectively...
By: Scott M. Cloud, MBA,CPC A well-designed 401(k) plan can help to recruit and retain employees, and – for most workers who have access to a company 401(k) plan – it serves as the primary (or only) investment vehicle to accumulate savings for retirement. The 401(k) plan’s effectiveness in helping owners and key personnel to save meaningful...
2022 – An Ideal Time to Review Plan Design SECURE Act Provisions for Long-Term Part-Time Employees Navigating the Labyrinth of Required Minimum Distributions Upcoming Compliance Deadlines for Calendar-Year Plans 2022 – An Ideal Time to Review Plan Design Each year, those in the retirement community collect, analyze and calculate data to...
Over the years we have seen a lot of articles and received several calls about “backdoor Roths” or “Mega Roths”. Individuals who expect to pay higher taxes in the future or would like to avoid Required Minimum Distributions may want to consider converting their pre-tax monies to a Roth inside of their 401(k) or ERISA 403(b). A Roth 401(k)...
By: Jerry Alena On October 13, 2021, the Social Security Administration released the 2022 cost-of-living (COLA) increase. At 5.9% it is the largest single -year increase in 40 years.The new OASDI Taxable Wage Base for 2022 was increased to $147,000 from $142,800.Social Security serves over 70 million Americans. Increased payments to 8 million SSI...
Save More for Retirement in 2022 Form 5500 Filing Extension for FEMA Designated Disaster Areas Upcoming Compliance Deadlines for Calendar-Year Plans Participant Distribution Fraud in the “New Normal” Save More for Retirement in 2022 On November 4, 2021, the IRS announced the Cost of Living Adjustments affecting the dollar limitations for...
