The notion that 401(k) plans are too complex or costly for small businesses is outdated. Running a business while managing employee benefits can be challenging, but recent changes under SECURE 2.0 have made retirement plans more accessible, affordable, and beneficial for everyone.

It's time to rethink assumptions about 401(k)s in today’s market.

Why Consider a 401(k) Now?

• Fewer than one in four small businesses currently offer a 401(k), but this number is growing rapidly.
• Businesses with up to 100 employees may qualify for up to $5,000 per year in tax credits for plan startup costs for the first three years.
• An additional credit of up to $1,000 per employee is available for employer contributions.
• Auto-enrollment, now standard in most new 401(k) plans, significantly boosts participation rates.

Benefits of Offering a 401(k)

• A well-designed plan can help attract and retain top talent, while lowering taxable income.
• Both plan expenses and employer contributions are tax-deductible, offering financial incentives to employers.
• More flexible and affordable options are now available, making retirement plans more accessible.

Offering a 401(k) is no longer a heavy administrative or financial burden for small businesses. It's an ideal time to explore these options to stay competitive in attracting talent.

We urge you to speak with a financial or benefits advisor to create a retirement plan tailored to your needs. Let's make the most of these opportunities together!