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PROFIT SHARING PLAN |
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Profit sharing plans are the easiest of all retirement plans to understand. They permit the employer to make pro-rata contributions of a specific percentage of pay to all eligible employees. Since they allow the employer to vary the contribution level from year to year, they are also among the most flexible of all retirement plans. Employers may base the contribution percentage on the profitability of business -- hence the name "profit sharing" plan. The Plan must be adopted by last day of first plan year. Contributions must be made by the employer's tax-filling deadline, plus extensions for prior years deductibility.
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. |
