A 401(k) is a retirement savings plan sponsored by an employer.
It allows employees to save and invest a portion of their paycheck before taxes are taken out. The funds in a 401(k) account can be invested in a variety of options such as stocks, bonds, and mutual funds. Additionally, contributions are often made with pre-tax dollars, which can lower an individual’s taxable income.
Employers offering matching contributions can be a valuable benefit that helps employees grow their retirement savings more quickly. It’s important for individuals to understand the specific details and rules of their employer’s 401(k) plan, including contribution limits, vesting schedules, and investment options.
We can recommend 401(k) plans that are best suited to your goals and benefit your employees.
