Small Business Retirement Plans: Picking the Best Plan for Your Client
Author: Greg White
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC
1.5 hours Retirement Savings and Income Planning for CFP |
Small businesses have many retirement plan options. The selection of the best plan helps our clients minimize taxes and secure a more comfortable retirement. We’ll cover how to navigate through the options and pick the best retirement plan for each client.
Publication Date: August 2021
Topics Covered
- The Big Picture
- Elective Deferrals
- Payroll Taxes Contributions
- Compensation: Self-Employed Computation
- Reasonable Compensation and Retirement Plans
- SEP
- SIMPLE Plans
- 401(k): Designated Roth Accounts
- In”Plan Conversions
- Defined Benefit Plans
- Terminating Plans
- Businesses under Common Control
- Effect on Traditional and Roth IRA Contributions
- Picking the Right Plan: Case Studies
Learning Objectives
- Identify the best type of retirement plan for small business owners, based on the underlying facts
- Identify the payroll ramifications of different retirement plans
- Recognize how to compute the maximum available deduction for each type of plan
- Identify the next step in choosing a plan, once you have considered the possible funding levels
- Recognize the amount of compensation elective deferrals can be up to
- Identify which contributions for owners of an S Corp are subject to payroll taxes
- Identify the current 401(k) elective deferral for someone at least 50 by year end
- Recognize which types of plans requires actuarial computations and an annual filing of Form 5500
- Identify which plan allows for the easiest termination option
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
