Retirement Plans Made Simple: A Guide for Small Business Owners with Jon Fritzinger

I’m thrilled to sit down with Jon Fritzinger, an expert in retirement benefits, to unpack everything business leaders need to know about providing these crucial perks to their teams. Jon starts off by explaining why offering retirement benefits is more than just a great perk—it’s a powerful tool for attracting and retaining top talent and supporting your employees’ long-term financial well-being. With state mandates and compliance requirements on the rise, Jon shares the ins and outs of what employers need to stay compliant and competitive.

We dive deep into the specifics, starting with the SEP IRA and Simple IRA. Jon explains how these options provide straightforward solutions for smaller businesses looking for manageable, cost-effective ways to get started with employee retirement plans. Then, we explore the world of 401(k) plans, which are a staple in retirement benefits that can be tailored to fit companies of various sizes and budgets. Jon walks us through the cost and implementation factors of 401(k) plans. He sheds light on what business owners need to consider for a smooth setup that benefits everyone involved.

But it doesn’t stop there, Jon also breaks down how to choose the right provider for your retirement plan needs. Whether you’re just starting to think about retirement benefits or looking to upgrade your offerings, this episode will leave you armed with actionable insights and a clear roadmap for making the best decisions for your business and team. Join us as we wrap up with Jon’s final thoughts on creating sustainable, impactful benefits packages.

What you'll hear in this episode:

• [2:20] Why Offer Retirement Benefits?

• [3:35] Types of Retirement Plans

• [5:00] State Mandates and Compliance

• [6:55] SEP IRA

• [9:05] Simple IRA

• [12:00] 401k Plans

• [18:55] Choosing the Right Provider

• [24:50] Tax Credits and Incentives

• [32:35] Conclusion and Final Thoughts

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* Find out more information about how to work with Jon: Western Level

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The Simple Way Small Businesses Can Offer Retirement Plans

Did you know that 17 states now require businesses to offer retirement plans to employees? For small business owners, this can feel overwhelming—but it doesn’t have to be. With the right knowledge and tools, offering retirement benefits is easier and more affordable than you think.

Retirement plans are a key part of attracting and retaining top talent while ensuring compliance with evolving state mandates. That’s why, in a recent episode of World’s Greatest Boss, I sat down with Jon Fritzinger, a financial expert with over 25 years of experience, to demystify retirement plans for small businesses. Together, we explored practical strategies to help you meet requirements, support your team, and save money on taxes.

Here’s how you can simplify the process and reap the rewards.

Why Retirement Plans Matter for Small Businesses

Retirement benefits aren’t just a compliance issue—they’re a business advantage. Here’s why:

• Attract and Retain Talent: Employees value retirement plans and often consider them essential when evaluating job offers. Offering one shows you’re invested in their future.

• Enhance Employee Morale: Retirement benefits demonstrate your commitment to financial well-being, fostering trust and loyalty.

• Stay Compliant: With state mandates expanding, offering a plan is becoming a legal requirement in many states. Avoiding penalties and staying ahead of the curve is crucial.

Your Retirement Plan Options

You don’t need a massive HR team or a big budget to offer retirement plans. Options range from simple to more robust solutions, depending on your team size and goals:

• SEP IRA: Ideal for businesses with one or two employees or sole proprietors. These plans are simple to set up but require proportional contributions to all employees.

• Simple IRA: A low-cost alternative to a 401(k), with minimal administrative requirements. Employers must match contributions, but the setup is straightforward.

• 401(k): The most flexible option, offering features like employer matches and employee contributions. Modern fintech solutions have made them affordable and easy to manage for small teams.

Tax Benefits That Save You Money

The SECURE Act and SECURE 2.0 offer significant tax incentives for small businesses that implement retirement plans:

• Startup Credits: Cover up to $5,000 annually for setup costs for three years.

• Matching Contribution Credits: Offset up to $1,000 per employee in matching contributions for five years.

• Automatic Enrollment Credit: Earn an additional $500 annually for auto-enrollment plans.

These credits not only reduce the financial burden but also make it more rewarding to invest in your team’s future.

Simplifying the Process

Technology has revolutionized how small businesses can offer retirement plans. Bundled 401(k) solutions, often backed by fintech, streamline the process, integrate with payroll systems, and offer competitive pricing. These tools make it easy to manage contributions, compliance, and reporting, even for businesses with fewer than 25 employees.

Take Action Today

If your business operates in one of the 17 states with retirement mandates, now is the time to act. Here’s how to get started:

1. Check Your State Mandates: Understand the rules and deadlines in the states where your employees work.

2. Research Providers: Look for modern, low-cost options that align with your business size and budget.

3. Consult an Expert: Work with an independent financial advisor or CPA to choose the right plan and maximize tax credits.

Build a Stronger Future for Your Business

Offering retirement plans doesn’t have to be overwhelming. With the right guidance and tools, you can support your team, comply with regulations, and take advantage of valuable tax benefits. Start small—explore your options and take the first step toward implementing a plan that works for your business.

For more insights and actionable advice, listen to my conversation with Jon Fritzinger on the latest episode of World’s Greatest Boss. Together, we’ll help you navigate the complexities of retirement plans and set your business up for long-term success.