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SB Wealth Strategies


Business Retirement Plans

Solutions for Businesses, Self-Employed and Professionals

At SB Wealth Strategies we pride ourselves on identifying and implementing unique solutions for your business. Whether you are looking to provide value added benefits to your employees, save on taxes, or catch up on your own retirement savings, we will work with you to create a solution that pursues your goals and objectives.

Learn More about Solutions for Small Businesses, Self Employed and Professionals

  • Defined Benefit Plan
  • Individual 401(k) Plan w/ Profit Sharing
  • Business 401k and Safe Harbor K
  • Profit Sharing Plan


What is it? 

This is a "true" pension plan. It is designed to pay a monthly benefit to employees upon retirement. The amount of the monthly benefit can be based on an employee’s final average compensation or years of service, or a combination of both. This type of plan is 100% funded by the employer. Although it is not as flexible as a Profit Sharing Plan, a Defined Benefit Plan can generate a much higher deductible contribution and accrue benefits at a much faster rate. 

Who can benefit from it?

A defined benefit pension plan (DB) is designed specifically to meet the tax savings and retirement income needs of individuals who are:

  • Business owners with 20 or fewer employees
  • 35 to 70 years of age
  • Earning $75,000 or more annually
  • Able to contribute a significant amount of earned income for 3 years or longer

What are some typical occupations of plan owners?

A defined benefit Plan can be customized to suit a wide variety of business types including:

ArchitectFinancial AdvisorAttorney
Insurance AgentContractorMortgage Broker
ConsultantPhysicianReal Estate Agent
DentistCorporate DirectorSales Representative
EntertainerSoftware DeveloperOther Small Businesses

What are contribution limits?

Sample of 2008 Defined Benefit Annual Limits

AgeLevel Contribution*150% Rule**

* The Level contribution amount is the annual amount contributed to the plan based on an annual income of $230,000. A lower amount may be selected at the time the plan is established
** IRC Section 404(a)(1)(D) permits individuals to Contribute and deduct up to 150% of the plan’s “current unfunded liability

How does it work?
Your DB Plan is created and administered by a Third Party Administer (TPA). They are responsible for creating the plan documents, computing the annual actuarial calculations and filing necessary forms. Plans must be established by the business’s fiscal year end and funded prior to filing of business tax return. Once funded the assets are managed by SB Wealth Strategies in accordance with the plan goals and actuarial guidance calculations.

How do I get started?
Download the Defined Benefits/Cash Balance Survey and fax/email us the completed form. Within a couple of days we will provide you with one or more scenarios specific to your situation.

Individual 401(k) Plan w/ Profit Sharing

What is it?

An Individual 401(k) w/ Profit Sharing is for self employed or single owner companies with no employees.  The plan allows contributions of 100% of Income or $17,500 whichever is less.  A $5,500 catch up contribution is allowed for individuals over the age of 50 for a total max contribution.  In addition, 20% of remaining income (25% if an S-corp) can be contributed to the plan as part of a profit sharing.  The max total contribution for the 401(k) and Profit Sharing for 2013 is $51,000 or $56,500 if over 50 years of age. 

Who benefits from it?

Anyone who is self employed, received 1099 income, or is the sole owner of an S-Corp and would like to increase tax deferred savings and reduce taxable income.  Depending on your income level a Solo 401(k) w/ Profit Sharing may allow you to contribution significantly more than a SEP IRA. 

How does it work?

Individual 401(k) w/ Profit Sharing plan documents are created for as little as $15.  We establish a 401(k) brokerage account with our Broker/Dealer and you make your contribution into the account.  We will work with you on investment selection and portfolio management.  

Can it be paired with a Defined Benefit Plan?

Yes, but the Profit Sharing component is reduced. 

How do I get started?

Download the Retirement Plan Survey and fax/email us the completed form. Within a couple of days we will provide you with one or more scenarios specific to your situation.

Full Service 401(k) AND SAFE HARBOR (k) Retirement Plans

What is it?

The 401k is the most popular plan available today. In this plan, an employee chooses an amount to contribute each pay period from his paycheck. This amount is taken out of the paycheck on a pretax basis, so the employee immediately defers taxation. The earnings on the deposits also accumulate tax deferred. An employer may also match the employees' deferral, usually as a percentage of the amount contributed. These types of plans can also be designed under new "Safe Harbor" formulas to automatically pass discrimination requirements. 

Who benefits from it?

401k plans are most beneficial to larger companies or companies with owners less than 35 in age who have lost the exclusive advantage of a SEP IRA. 401k and Safe Harbor 401k plans can be paired with other retirement plans including a DB Plan and the Cash Balance Plan in order to maximize owner saving as well as offer funding flexibility.

What Services does SB Wealth Strategies provide?

Services for New 401k Plans

Platform Selection - We understand that you are busy running your business and the last thing you have time for is to evaluate 401k platforms. That is why we have done the work for you. Our team of investment advisor's have done extensive due diligence to identify the strengths and weaknesses of the numerous platform providers. Criteria include

  • Existing Plan Transition
  • Cost
  • Investment Alternatives
  • Customer Support
  • Plan Education / Bi-lingual enrollment support
  • Statements and Reports
  • Online Access

Investment Selection - We will work with you to identify the proper mix of investment alternatives for your plan. We will then perform a comprehensive screen of the investments available within your plan and recommend a diversified selection of funds for your use within the plan.

Plan Implementation - We will assist you in coordinating the platform provider and third party administrator as your plan is created and then rolled out to your employees

Ongoing Support - Things change over time and we want you to know we will be there to help. We will conduct an annual review of your plans investment alternatives and make recommendations to you. We will also be available to conduct periodic lunch and learn seminars for employees interested in learning more about investing and their 401k plan.

Services of Existing 401k Plans 

Top Down Plan Review - If you make us the broker of record for your existing 401k plan we will conduct a complete top down review of your plan.  The review will consist of the following 

Cost Analysis - We will review the current fund charges, participant fees, annual fees and other fees to make sure that you are receiving optimal pricing for your plan size. 

Investment Review and Selection - We will evaluate the investment alternatives currently available in your plan with the overall choices available to you and make recommendations for investment changes 

Enrollment Review - We will review your current enrollment and identify ways to make your plan more effective for both the plan sponsor and its participants. 

Ongoing Support - Things change over time and we want you to know we will be there to help.  We will conduct an annual review of your plans investment alternatives and make recommendations to you.  We will also be available to conduct periodic lunch and learn seminars for employees interested in learning more about investing and their 401k plan.  

How do I get started?

If you are not satisfied with your current platform or wish to add a 401k plan to your company call or email us today for a complimentary plan review.


What is it?

Profit Sharing plans are the most flexible plan available, because an employer may choose whether or not to make a contribution each year. Up to 25% (for plan years beginning in 2002) of the total eligible compensation of the employees may be contributed. There are also several types of allocation formulas available, many of which benefit owners and/or key employees at a higher rate than the other employees, such as in "tiered" or "new comparability" formulas. Also, a profit sharing plan can add the 401(k) feature above (including the matching feature) and become a 401(k) Profit Sharing Plan. 

Who benefits from it?

Owners of companies who want flexibility in making contributions. Unlike a defined benefit or cash balance plan contributions are discretionary.  

How do I get started?

Profit Sharing plans can easily be added to existing 401k and Safe Harbor K plans. They can be created as a stand alone account or integrated as part of a new 401k platform.  Contact us today for a complimentary plan review.


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