Objectives: A small, closely-held business where the owners want to maximize their own qualified contributions and can go beyond the Defined Contribution limits but, want to minimize the employer required contributions to their employees.
- Owners able to contribute large dollars to the plan and have the flexibility to choose different amounts
- Employer required to give employees 8.2% for contributions
- Owners represent 95% of all the contributions being made to the plan
Click each bucket for an example.