Profit sharing plans are often coupled with a 401(k), allowing employers to fund participants’ retirement accounts with corporate dollars. Most plans contain provisions to make all contributions to the profit sharing plan completely discretionary, limiting the employer commitment, but allowing for additional retirement funding in profitable years.
Corporate contributions can be made based on age, compensation or job classification. Once a contribution is made, the plan’s vesting schedule will govern when an employee actually owns the corporate contribution amount.
Based on your employee demographics, we can help you make decisions on where and how to distribute profits. Our high-level plan design and management will be tied directly to your organization's goals and objectives.
We will help your employees understand their benefits and use the plan benefits to effectively invest for their retirement years.
