4 Hidden Benefits with Offering Retirement Savings Plans to Employees
In many industries, offering a retirement savings plan to staff has become a standard part of the employee benefits packages. As hiring quality candidates for positions within optometric practices has become more competitive, practice owners should consider whether offering a retirement plan to employees could benefit their practices. Optometric practice owners should consider these four advantages to offering a retirement plan as an employee benefit.
- It’s more affordable than you may think – There are a variety of retirement plan options available, and many are designed with small business owners in mind. Some qualifying administration costs may even be offset by government tax credits.
- Attract and retain top talent – Offering a retirement plan as an employment benefit can make your practice more attractive to quality applicants. Demonstrating that you are invested in your employees can encourage your team to be more dedicated to their work and maintain a longer tenure with your practice.
- Contribution flexibility – It is possible to offer a retirement plan within your practice while still maintaining autonomy when it comes to your contributions to employee accounts. Not all plans require employer contributions, and some plans allow for contribution variance from year to year, allowing you to determine how much you are comfortable with contributing.
- Potential tax incentives – By offering a retirement savings plan within your practice, you may become eligible for tax incentives, including potential deductions for your practice’s contributions to employee accounts.*
Once an optometrist has determined that offering a retirement plan would be beneficial to their practice, the next step is to choose the plan type that is best suited to the needs of the practice. AOA members can receive a complimentary review with a retirement programming specialist to help decide which plan is the best fit for their practice.
*Talk to your Certified Public Accountant (CPA) for tax advice.
Please be advised that this article is not intended as legal or tax advice. Accordingly, any tax information provided in this article is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of avoiding penalties that may be imposed on the taxpayer. The tax information was written to support the promotion or marketing of the transaction(s) or matter(s) addressed and you should seek advice based on your particular circumstances from an independent tax advisor.
Issuer: Equitable Financial Life Insurance Company, NY, NY.
Equitable is the brand name of the retirement and protection subsidiaries of Equitable Holdings, Inc., including Equitable Financial Life Insurance Company (NY, NY); Equitable Financial Life Insurance Company of America, an AZ stock company with main administrative headquarters in Jersey City, NJ; and Equitable Distributors, LLC. Equitable Advisors is the brand name of Equitable Advisors, LLC (member FINRA, SIPC) (Equitable Financial Advisors in MI & TN). The obligations of Equitable Financial and Equitable America are backed solely by their claims-paying abilities.
GE-3515977 (4/21)(Exp. 4/23)