Category: 401(k) Plans

Can a Profit Sharing Plan help Small Business Owners? Profit sharing plans are an important part of employer-sponsored retirement strategies, often used in conjunction with 401(k) plans to offer flexible benefits to employees while helping businesses manage contributions based on profitability. This article explores what profit sharing plans are, how they function, the legal and…

What is a Profit Sharing Plan and How Does It Compare to a 401(k)? Profit sharing plans and 401(k) plans are both types of defined contribution retirement plans that help employees build long-term savings. However, they differ in structure, funding source, and participation. This article will explore profit sharing plans in detail—what they are, how…