The 401(k) Plan
For many employers, the terms "401(k)" and "retirement plan" conjure feelings of anxiety. Corporate Financial Services is a company designed to relieve the burden of managing a retirement plan.
Every organization faces the ongoing challenge of attracting and retaining quality employees. There are a variety of plans and investment options employers use to provide tax-favored opportunities for employees. Sponsoring such programs gives an employer an edge in the competition for talented employees.
The 401(k) plan is an employer-sponsored plan that allows your employees to make contributions with pre-tax dollars. These contributions are generally made to the plan through payroll deductions. Contributions to the 401(k) plan by employees will reduce an employee's gross earning for federal income tax purposes.
The maximum salary-deferral contribution that an employee may make to a 401(k) plan is $18,000 for 2014, whichever is less. An additional $5,500 Catch-Up Contribution is allowed for workers age 50 and older. The dollar amount is subject to an annual cost-of-living adjustment. The maximum contribution level for highly compensated employees is further limited by the contribution levels of the non-highly compensated employees based on plan design.
Corporate Financial Services has experience in programs designed for the unique characteristics and budgetary requirements of all business types as well as municipalities.