fbpx

< Back to Thought Leadership

Are you looking for a way for to have your business fund your retirement?

If you are interested in larger contributions than a 401(k) plan will permit, a cash balance pension plan may be right for you.

Someone 60 years or older can possibly receive $200,000 or more in pretax contributions in a cash balance plan, whereas the maximum 401(k) contribution limit for someone age 60 would be closer to $60,000. In combination with a 401(k) plan, a cash balance plan can allow much larger contributions to be made to boost your retirement savings quickly in the years as you get closer to retirement.

The cash balance plan is a type of pension plan that is maintained in pooled, managed investments, yet allows for tracking individually so that participants may see the value of their individual portfolios. Where the market value of assets will play a role in the final value of a 401(k) benefit, the cash balance plan is treated in a similar manner to a traditional defined benefit plan, such that a participant’s final benefit payment is not determined by the market, but on a predetermined formula that establishes the benefit to be paid at retirement.

Establishing a cash balance plan along with your 401(k) plan can provide your business with a significant tax deduction along with an effective tool to supercharge your retirement savings. Please contact us if you are interested in a review to see if a cash balance pension plan is right for you.

Upcoming Changes to Your ERISA Plan Audits

Upcoming Changes to Your ERISA Plan Audits

Overview of SAS No. 136 On July 10, 2019, the Auditing Standards Board (ASB) of the American Institute of Certified Public Accountants (AICPA) issued Statement on Auditing Standards No. 136, Forming an Opinion and Reporting on Financial Statements of Employee Benefit Plans Subject to ERISA (EBP SAS) for financial statement audits of employee benefit plans […]

Learn More
CMS Final Rule under PPS for SNFs for FY 2020

CMS Final Rule under PPS for SNFs for FY 2020

CMS issued a proposed rule on July 30, 2019, with updates to the Patient-Driven Payment Model (PDPM), Quality Reporting Program (QRP), and the Value Based Purchasing Program  (VBP) for fiscal year 2020 ( beginning on 10/1/19 and ending on 9/30/20). See here for the final rule. The final rule was published in its official form […]

Learn More
Revenue Recognition (ASC 606) for Healthcare Entities

Revenue Recognition (ASC 606) for Healthcare Entities

Welcome to our video series on the new revenue recognition standard. This video, Revenue Recognition (ASC 606) for Healthcare Entities, highlights the key implementation considerations related to revenue recognition under Topic 606 for Healthcare organizations. If you haven’t already viewed the video, A Conversation on Revenue Cycle (ASC 606), we recommend doing so to get […]

Learn More