During the holidays, we focus on decorating our homes, putting up lights, and buying gifts. What about treating your business or your clients with additional tax savings?
Do you or your clients only put away an IRA contribution? Think about upgrading to a qualified retirement plan. This allows business owners to put away up to $66K, or if aged 50 or over, $73,500. That’s well above the IRA maximum of $6,500.
Better yet, under recent legislation, if you have at least one non-highly compensated employee, most if not all start-up costs, including administration will be reimburse by the IRS with tax credits for the first 3 years.
Do you or your clients already have a SEP IRA or a qualified plan? Supercharge your deductions with a companion cash balance plan. As you age, the contribution can increase as high as $400K.
Do you have to decide before the end of the year? No, you can decide by the time you file your business tax returns for 2023. However, for tax planning, review these options with your Concierge Retirement Plan Consultant before the end of the year.
You, your employees, and your clients will appreciate your holiday spirit.