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401(k) PROGRAM |
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A 401(k) plan allows elective contributions from company employees to the plan. Employees contribute to the plan by making salary reductions from their paychecks. The plan is very popular with employees because it gives them an efficient tax-advantaged way to control their own retirement. Employers may also contribute on behalf of employees. An employer may choose to "match" an employee's contribution. This is often done to encourage participation in the plan. Alternatively, the employer may also choose to make a pro rata contribution on behalf of all eligible employees, as for a profit sharing plan contribution.
The above information
is not to be considered complete or
comprehensive*. CAPITAL
SECURITIES
*Please Note: The information provided herein is strictly to be used as a convenience for our clients. CAPITAL SECURITIES makes no representation as to the completeness or accuracy of any information provided herein. The information provided is for informational and educational purposes only and should not be used to make a decision to establish a retirement plan, buy or sell a security or mutual fund and is not intended for trading or investing purposes. CAPITAL SECURITIES shall not be liable for any errors in the content, or for any actions taken or reliance upon information supplied. For additional information about any retirement plans, mutual funds, to receive a prospectus or to place an order to purchase or sell any mutual fund shares or individual securities, please contact CAPITAL SECURITIES. |
