This article has been updated for 2021. The Impact of Investment Returns How do investment returns impact Defined Benefit Plan contributions? In this article, we will explore that question in depth. At a high level, the impact of investment returns depends on several factors, including the Defined Benefit Plan’s funded status, the size of the […]

Investment Returns Impact Defined Benefit Contributions

March 5, 2020

How Investment Returns Impact Defined Benefit Plan Contributions

This article has been updated for 2021. Early Defined Benefit Adoption It’s human nature to take action as a deadline approaches. For example, why do you think CPAs are busier in April than February? Not surprisingly, it’s the same for clients setting up a Defined Benefit Plan. Historically, we’ve seen Defined Benefit inquiries and setups […]

Setting Up a Defined Benefit Plan Early in the Year

February 26, 2020

Setting Up a Defined Benefit Plan Early in the Year. What Are the Advantages?

This article has been updated for 2021. Introduction Practitioners use Defined Benefit Plan compensation for many elements of administration. This article explains, at a high level, how your Defined Benefit Plan actuary and third party administrator will define and use compensation for your Defined Benefit Plan. Defined Benefit Plan Compensation The owner’s Defined Benefit Plan […]

Defined Benefit Plan Compensation

February 11, 2020

Defined Benefit Plan Compensation. What Compensation Counts?

This article has been updated for 2021. Form 945. What Is It? Form 945 is used to report federal income tax withheld from nonpayroll payments, including distributions from Defined Benefit Plans. Do You Need to File? In general, if you have withheld federal taxes from any nonpayroll payments, Form 945 would be required. More specifically, […]

Form 945

January 28, 2020

Form 945: Reporting Withholding for Defined Benefit Plans

This article has been updated for 2021. Introduction In a Defined Benefit Plan, a business owner is able to make high deductible contributions ($100k to $250k+). Of course, large contributions lead to a large asset pool, so it is important to select a qualified financial advisor to manage Defined Benefit Plan assets. Defined Benefit Financial […]

Financial Advisor Defined Benefit Plan

October 25, 2019

The Financial Advisor for Your Defined Benefit Plan. What You Should Consider.