Taxes - Modewealth

401k Plan services

Not sure which retirement plan is best for your business and employees? Looking for easy plan management and a broad range of investment options? With MODEWEALTH Retirement Services, you gain an experienced team of professionals ready to help you choose and implement the right retirement plan. Read on to learn more about your plan choices with MODEWEALTH.

A range of retirement plans for your workforce

401(k) plans and investment choices

A 401(k) is a qualified profit-sharing plan that allows employees to contribute a portion of their wages to an individual account. You can also contribute to employees’ accounts — this is often done through a match of what an employee contributes.

If you choose a 401(k) plan, you’ll need to decide which investment options your employee can choose to invest in. Whether your advisor is providing investment advisory services or you are considering hiring a third party for this support, MODEWEALTH can accommodate either approach.

403(b) plan options available for you

A 403(b) is a type of qualified retirement plan which is similar to a 401(k) and is available in certain industries. These plans allow your employees to contribute and save on a pre-tax and after tax basis, with the opportunity for employer matching contributions as well. In the education and healthcare sectors, these plans are the most common retirement vehicle.

MODEWEALTH has teamed up with Newport Retirement Services8, a leading provider of 403(b) retirement plans, to bring you 403b-Select. This one-of-a-kind solution provides data integration between MODEWEALTH’s payroll solutions and Newport’s recordkeeping system to ease the burden of administrative plan tasks.

SIMPLE IRA options for small businesses

A SIMPLE IRA (Savings Incentive Match Plan for Employees) is a retirement plan that allows you and your employees to contribute to the plan. Employee contributions are tax-deferred. Each year, employers must make either a matching contribution or a nonelective contribution. Administrative fees can be as little as $480, and you may qualify for a tax credit for start-up administrative costs of up to $500 for each of the first three years of the plan. Plus, you can deduct annual employer contributions to the plan as a business expense. This type of plan can be an attractive option for small businesses, since it requires:

Less paperwork than a 401(k) plan
Fewer compliance burdens
No minimum participation

SEP IRA options for self-employed individuals and small business owners

If you are self-employed or a small business owner, you can make tax-deferred and tax-deductible employer contributions to a SEP IRA plan for each employee. SEP IRAs provide key benefits to business owners:

Help your employees become retirement ready and prepare for life's financial challenges

About 50 percent of employees save less than $5,000 per year for their retirement. When employees understand their retirement plan benefits, they’re more likely to enroll and use those benefits to their full potential.

Your employees will gain confidence that they’re on the right path to retirement through ongoing MODEWEALTH education programs. And providing those programs is an effort well spent: 2 in 3employees say their benefits package helps reduce their financial stress.

MODEWEALTH Retirement Services supports your employees with helpful programs, information, technology and tools that include:

An award-winning employee education program and team of licensed retirement counselors to help your employees get ready for retirement
A Financial Wellness website to help employees plan for life’s financial challenges
A Health Care Cost Projector to help them calculate possible future healthcare expenditures
A targeted mobile-phone messenger that provides important retirement information to employees, and helps them develop better retirement savings habits

ModeWealth - A Wealth Advisory Firms