401k Informational Webinar With J.P. Morgan Chase

Join this webinar to learn about Everyday 401(k) by J.P. Morgan. Everyday 401(k) offers a digital 401(k) platform that can bring a tailored retirement plan solution to small businesses.

Agenda For This Webinar:

1. NY State Retirement Mandate – NY Secure Choice Savings Program
   1. Any business with 10+ employees, who’s been in business for at least 2 years, and who does not offer a retirement plan must establish one
   2. Signed into law in Oct ’21; due date for program launch recently extended from Oct ’23 to Oct ‘24
   3. In concert with mandatory plan requirement, the program board is building a Roth IRA based state run program for businesses looking to just check the box
2. Tax Credits for New Retirement Plans - SECURE Act 2.0
   1. SECURE Act was signed in 2019; SECURE Act 2.0 was signed in 2022 to expand and elaborate
   2. In addition to numerous other changes, the Acts created and expanded upon tax credits to help alleviate the cost of starting a retirement plan for small businesses
   3. The 2 biggest credits are available for businesses with 100 or fewer employees (especially those with 50 or fewer) who have not offered a retirement plan in the last few years:
      1. Admin cost tax credit – up to $5k in credits for each of the first 3 years to help offset admin costs
      2. Business contribution tax credit match – for each employee making $100k or less, up to $1k credit per employee for each of the first 5 years to help offset business contributions to those employees (ex. Employer Match, Profit Sharing, Non-elective contribution, etc.)
3. Understand Costs, Maximize Benefit & Accelerate Savings
   1. Understand Costs: admin costs vs business contributions; out of pocket costs vs asset based/investment costs (aka hard dollar vs soft dollar fees)
   2. Maximize Benefit: leveraging Safe Harbor and Profit Sharing to allow for owner flexibility, a more attractive employee benefit, and a better retention tool
   3. Accelerate Savings: utilizing special rules and plan types to increase benefit to key people and tax savings for business
      1. illustrating the benefits of Profit Sharing using a new comparability allocation
      2. illustrating the benefits of add a Cash Balance plan