ShareBuilder 401(k), a provider of digital retirement plans, is waiving its set-up costs through December 20. Thus, companies with more than one employee can save up to $995 in set-up costs for a new 401(k) plan, while self-employed business owners won’t have to pay the standard set-up fee of $150 during the same period.
“As business owners close their 2019 books and seek new ways to boost business in 2020, starting a 401(k) can be a great way to fuel success both professionally and personally,” says Stuart Robertson, head of ShareBuilder 401(k). “Offering a 401(k) can help mitigate your personal and business tax burden each year, build future savings for you and your employees, and attract and retain top talent.”
In line with this, ShareBuilder 401(k) has issued a blog, “Top Tax Reasons to Start a 401(k),” to help reveal that solo 401(k)s permit business owners to contribute up to $56,000 pre-tax in 2019. As both the employer and employee, the owner can make up to $19,000 in contributions as employee and another 20% to 25% or earnings based on the business type.