January 29, 2020
Quick Hit Sales Idea: Put a Price on Loyal Employees
Employee (And Tax) Benefits for Small Businesses
Small businesses constantly face the challenge of attracting quality employees and retaining loyal employees. And, when they don’t offer any kind of retirement benefit, that challenge increases significantly.
The opportunity
The unemployment rate ticked down to 3.5% from 3.6%, back to the 2019 low and matching the lowest jobless rate since 1969.*
Small businesses are feeling it!
Most small business owners think the only option out there is a 401(k), which can be expensive and complicated to set up. Talk with them about the Simple IRA and SEP IRA, options provided by the IRS specifically for small businesses.
Best of all, in both plans employer contributions are tax deductible!
What might that prospect look like
The SIMPLE IRA is for businesses with less than 100 employees and where the business owner is willing to also contribute a flat 2% of each employee’s compensation or match employee contributions dollar for dollar up to 3% of gross pay annually.
The SEP IRA is ideal for sole proprietorships and very small businesses where the business owner is willing to be the sole funding source.
Start the conversation now
- Are you struggling to attract talent?
- Are employees leaving for employment with better benefits?
- Do you want to hang on to the employees you have?
- Do you anticipate a sizable tax debt?
- Would you like to pay more to your employees and less to the IRS?
Products to solve for
Accumulation Focus FIT Secure Growth
Income Focus FIT Certain Income
Now, make it happen!
*https://www.cnbc.com/2019/12/06/us-nonfarm-payrolls-november-2019.html
