Employer-Sponsored Retirement Plans
ADDITIONAL INFORMATION
| Description | Details | |
|---|---|---|
| 401(k) plans |
With these popular plans, employee contributions actually represent deferred compensation and therefore offer income-tax incentives. 401(k) plans also allow employers to make matching or profit-sharing contributions on their employees' behalf — and receive a corporate tax deduction. |
|
| Profit-sharing plans |
With these plans, employers may share profits with employees by funding the retirement plan in full according to a set formula or discretionary amount. However, contributions are not required every year — this is strictly at the employer's discretion. Employer contributions receive a corporate tax deduction. |
|
| Defined-benefit plans |
These plans promise employees a fixed retirement benefit based on age, salary and service. The trust's investments are pooled and chosen by the Trustee. |
|
| Cash-balance plans |
These plans are fundamentally the same as defined-benefit plans, but with the advantages of a profit-sharing plan. The key difference is that cash-balance plans provide benefits in the form of a determinable account balance rather than an ending retirement benefit. |
|
| Money-purchase plans | These plans are similar to profit-sharing plans, except that the annual employer contribution amount is defined by the plan document and is not discretionary. Employer contributions receive a corporate tax deduction. |
|
Securities offered through Raymond James Financial Services, Inc. Member FINRA/SIPC.
The securities products offered, unless otherwise indicated:
- are not FDIC insured
- are not a deposit or other obligation of the depository institution
- are not guaranteed by the depository institution
- are subject to investment risks, including the possible loss of the principal amount invested
This site is published for residents of the United States only. Raymond James' Financial Advisors may only conduct business with residents of the states for which they are properly registered. Therefore, a response to a request for information may be delayed. Please note that not all of the investments and services mentioned are available in every state. Investors outside of the United States are subject to securities and tax regulations within their applicable jurisdictions that are not addressed on this site. Contact your local Raymond James office for information and availability.
