What is a Defined Benefit Plan?
A Defined Benefit Plan is a specialized type of retirement plan that offers set benefits upon retirement. It differs from traditional plans in the fact that the benefits are not determined by investment returns, but rather by factors such as salary history and duration of employment.
How does a Defined Benefit Plan benefit employers?
A Defined Benefits Plan offers a number of unique benefits to employers:
What are the advantages of the Broad Financial Defined Benefit Plan?
- Employee Retention – This kind of plan is one of the most attractive to current and incoming employees due to its guaranteed benefits and ease of contribution.
- Flexibility – A Defined Benefit Plan can be offered by an employer of any size.
- Significant Contributions – Employers can generally contribute (and deduct) more than with other plans, even in early retirement scenarios.
- Corporate Strategy – Business specific strategies can be implemented via the use of early retirement benefits.
Setting up a retirement plan is usually confusing and difficult, but with Broad Financial all the difficulties disappear. We’ll hold your hand from the initial call, and fully guide you through implementation and tax reporting. This is especially important in a Defined Benefit Plan where the administrative aspects can be complex, and include documentation, accounting, and actuarial services. With our stellar client support and A+ rating from the BBB, you can rest assured that your company’s retirement plan will be up and running in a timely and comprehensive manner.
Speak to a Specialist at Broad today and find out just how easy it can be to offer your employees a Defined Benefit Plan.