Business has been good, but your tax bill is looming big.
You want some tax relief, and you know that you need to plan for retirement.
You already take plenty of risk by owning your own business, and want to diversify your portfolio to include strong guarantees.
How large can your tax-deductible contributions be?
Below are some examples of tax-deductions for the 2014 tax year:
- Age 40 - $112,207
- Age 45 - $153,861
- Age 50 - $231,393
- Age 55 - $334,616
A 412(e)(3) defined benefit pension plan, referred to in IRS regulations as an “insurance contract plan,”
A 412(e)(3) plan enjoys certain advantages over the traditional defined benefit plan and is worth exploring if you are the owner of a small business.