By Joey Biggerstaff, CPFA®, CRPC™
For small business owners, offering a 401(k) plan isn’t just a benefit for your employees—it’s a strategic move that can help you pursue your ideal financial future while also attracting and retaining top talent. Partnering with LightForce Financial allows your 401(k) plan to not only be tailored to your business’s specific needs but also designed to provide maximum value to both you and your employees.
Tax Advantages for the Business
One of the most compelling reasons to establish a 401(k) plan is the significant tax benefits it offers. Employer contributions to your employees’ retirement accounts are tax-deductible, which can reduce your business’s taxable income. Additionally, by contributing to your own retirement account, you can take advantage of personal tax-deferred growth, allowing your investments to compound over time without the burden of immediate taxation.
Attracting and Retaining Talent
In today’s competitive job market, employees are looking for more than just a paycheck—they want financial security for their future. Offering a 401(k) plan can be a powerful tool in attracting and retaining high-quality employees. It demonstrates that you are invested in their long-term well-being, which can lead to higher job satisfaction and loyalty. LightForce Financial works closely with you to design a plan that not only attracts top talent but also keeps them engaged and committed to your company.
The Power of the Employer Match
One of the most valuable features of a 401(k) plan is the employer match. This is essentially “free money” you contribute to your employees’ retirement savings, usually based on a percentage of their own contributions. For employees, not taking full advantage of this match is like leaving money on the table. At LightForce Financial, we emphasize the importance of maximizing the employer match, helping employees understand the benefits of contributing enough to receive the full match. This not only strengthens their financial future but also fosters a culture of financial responsibility within your company.
Flexibility and Control
A 401(k) plan offers flexibility that can be tailored to the unique needs of your business. Whether you want to start with a basic plan or incorporate features like profit sharing or automatic enrollment, a well-structured 401(k) plan can grow with your business. LightForce Financial provides the knowledge and skill needed to create a plan that is both flexible and effective, giving you control over investment options, plan design, and contribution levels.
Why LightForce Financial?
Managing a 401(k) plan involves navigating complex regulations, selecting the right investment options, and maintaining ongoing compliance. This is where LightForce Financial shines. We work diligently to design a plan that maximizes benefits for both you and your employees while meeting all fiduciary responsibilities. Our team is dedicated to making the process as seamless as possible, allowing you to focus on what you do best—running your business.
In conclusion, a 401(k) plan is not just a benefit; it’s an investment in your business’s future. It offers tax advantages, helps attract and retain talent, and provides a platform for financial growth for both you and your employees. LightForce Financial is here to guide you every step of the way, while monitoring and tailoring your plan to meet your specific needs.
Contact us today to learn more about how we can create a 401(k) plan that supports your business and empowers your employees. To schedule an introductory meeting, call (817) 896-2744, email gerald@lightforcefinancial.com, or select an appointment online.
About Joey
Joey Biggerstaff, CPFA®, CRPC™ is a financial advisor at LightForce Financial, a fee-only financial services firm based in Denton County, Texas, specializing in guiding multi-generational families and small and mid-sized business owners through the inevitable—change. Specializing in matters related to 401(k)s, Joey holds his Certified Plan Fiduciary Advisor and Chartered Retirement Planning Counselor designations and is dedicated to helping clients receive quality retirement plan investments and services. He strongly believes that each and every employee deserves the option of retiring on their own terms.
After earning an accounting degree from Texas A&M University, Joey began his financial services career at A.G. Edwards & Sons in 1993. Prior to joining the LightForce team, Joey gained extensive experience working for GuideStone Financial Resources for 20 years, after which he was recruited by MassMutual to serve as a large corporate relationship manager. Joey also holds his Series 65 license. A native Texan who’s lived all over the state, Joey and his wife, Cindy, reside in Athens and have three children: Brenna, Carson, and Manning. Outside of work, he enjoys spending time with his family, singing in the church choir, traveling, shooting, telling dad jokes, and occasionally attempting to play golf. To learn more about Joey, connect with him on LinkedIn.
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