The Individual 401(k) is an employer sponsored retirement plan that provides significant advantages to small businesses whose only employee(s) is the owner or the owner and their spouse.
Candidates include:

• C corporations
• S corporations
• Partnerships and
• Sole proprietorships.
  

In many situations the plan may allow larger tax-deductible contributions other than retirement plans such as SIMPLEs, SEPs or Profit Sharing Plans.

Start a conversation with the Vista Partners of Baird today, to see if you could benefit from the Individual 401(k). It's quick, easy, and may be the best thing you could do for your retirement.

Who May Establish:
Available for any business whose only employee(s) is the owner or the owner and their spouse. If you anticipate hiring employees in the near future, this plan is not for you.

Plan Establishment Deadline:
Business tax year-end.

Contribution Ceilings:
Contributions are discretionary each year. In other words, you have the flexibility to contribute according to your ability. We work closely with you to ensure you have the opportunity to maximize the annual contribution limits.

Roth Individual 401(k) Option:
With the Roth provision, you have the choice of making all or a portion of your salary deferrals on an after tax basis.

Vesting:
100 percent immediate.

Tax Benefits:
Contributions are tax deductible, and earnings accumulate on a tax-deferred basis.

Rollovers:
Money can be rolled into your Individual 401(k) from most other tax-deferred retirement plans, including a traditional IRA, SEP, SIMPLE, 401(k), Keogh, money purchase or profit sharing plan.

Loans:
Available up to 50 percent of account balance or $50,000, whichever is less. Repayment subject to IRS guidelines.

Withdrawals:
Available after age 59½, or upon death, disability or plan termination.

Government Reporting:
The owner must file Form 5500EZ once plan assets exceed $250,000.

Trustee:
The business owner serves as Trustee of the plan.

Allow the Vista Partners of Baird’ industry experience and consultative approach to help you with your retirement goals. We would like to talk to you about whether the Individual 401(k) is the right fit for your business.