The coronavirus pandemic is presenting new and unique challenges that many of us have never faced. Qualified retirement plans are no exception. This presentation showcases the ways business owners can ameliorate the challenges presented by the current environment.
Learning Objectives
- Upon completion of this course, you'll be able to:
- Identify various types of qualified retirement plans and understand recent updates from the CARES and SECURE Acts, including contribution limits and plan design strategies.
- Evaluate plan structures such as 401(k), profit-sharing, and cash balance plans to optimize owner contributions and reduce staff-related costs, including integration with the Section 199A QBI deduction.
- Understand key compliance considerations such as timing for contribution deposits, nondiscrimination testing, and the strategic benefits of advanced plan designs like split and accumulation plans.
Major Topics
- Topics covered will include:
- Types of qualified retirement plans
- CARES Act, SECURE Act and regulatory updates
- 2022 Contribution limits:
- What is the maximum amount that can be contributed on an owner’s behalf?
- Limiting staff costs
- Coordinating 401(k) plans and profit-sharing plans as a strategy to reduce staff costs
- Timing for 401(k) contribution deposits -Average Deferral Percentage Test
- Pros and cons of Roth 401(k)s
- Cash balance plans
- State-of-the-art defined benefit plans which will enable owners to substantially increase their contributions. Ideal for multiple owner and multiple employee situations
- Traditional defined benefit plans
- Prior service design
- Accumulation design
- Split plan design
- Coordinating plan design with the Section 199A QBI deduction
