A qualified plan can provide tax savings for your business today and accumulate assets for you for tomorrow.
Consider the following:
- A qualified plan can provide an immediate tax deduction for your business.
- Contributions to the plan are not currently taxable as income to the participants.
- Contributions accumulate tax-deferred until withdrawn.1
- Qualified plan assets are generally protected from creditors.
- If you have a need for life insurance, premiums can be paid for with pre-tax dollars through the plan.
This all sounds good, but you may think that a qualified plan won’t work for you because you have to contribute for your employees as well. But, a qualified plan may actually save you money because the tax savings may be more than the contributions that need to be made for the employees.
Wouldn’t you rather help your employees save for retirement than pay taxes?
To learn more about qualified plans, click here.
1Withdrawals are taxed as ordinary income and, if made prior to age 59 ½ will be assessed a 10% federal tax penalty, subject to certain exceptions.
The companies of National Life Group and their representatives do not offer tax or legal advice. For advice concerning your own situation, please consult with your appropriate professional advisor. Qualified plans are offered and administered independently of the companies of National Life Group.