Auto-enrollment tax credit

What is the SECURE Act auto-enrollment tax credit? A $500 tax credit has been created for small employers who add an EACA to their retirement plan. The credit is available for 3 taxable years. What are the requirements to be an EACA? EACA stands for “Eligible Automatic Contribution Arrangement”.  The requirements to be an EACA … Read more

Start-up plan tax credit

What did the SECURE Act change about the start-up tax credit? Since 2002 a federal income tax credit has been available for starting a retirement plan. All the SECURE Act changed was the amount of the start-up credit for tax years after 2019.  So everything else stays the same. Discussed separately, the SECURE Act also … Read more

Obtaining Your Electronic Signer Credentials

Step-by-Step Instructions Step 1: Open your internet browser and go to http://www.efast.dol.gov. Click “Register” on the left side of the page under the “Main” table. Step 2: Read the Privacy Statement and check the box “I have read this agreement”. Click the “Accept Agreement” box to continue. Step 3: Complete your Profile Information. IMPORTANT: For … Read more

What is 457(b) plan?

A 457(b) plan is a type of non-qualified tax advantaged deferred-compensation retirement plan that is available for governmental and certain non-governmental employers. The employer provides the plan and the employee defers compensation into it on a pre-tax basis.   Sometimes the employer also makes contributions.