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 significantly increase near the statutory due date. […]

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?

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 compensation depends on the entity type. The […]

Defined Benefit Plan Compensation

February 11, 2020

Defined Benefit Plan Compensation. What Compensation Counts?

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, if your business is the Plan Sponsor […]

Form 945

January 28, 2020

Form 945: Reporting Withholding for Defined Benefit Plans

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 Advisor Considerations When selecting a financial advisor, […]

Financial Advisor Defined Benefit Plan

October 25, 2019

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

This article has been updated for 2020. Defined Benefit Plan Due Dates Defined Benefit Plans have several deadlines. In order to receive favorable tax treatment and avoid penalties, you must meet these due dates in a timely fashion. What deadlines must you be aware of in a Defined Benefit Plan? First, you must set up […]

Defined Benefit Plan Deadline

September 30, 2019

2020 Defined Benefit Plan Deadlines. Due Dates to Set Up and Fund the Plan.