Today's competitive job market has compelled many companies to offer competitive and attractive benefit plans. To be successful, business leaders must spend as much time as possible focusing on the business plan, not managing benefit plans. Partnering with a retirement plan specialist can help you design a 401(k) plan that supports recruitment and retention efforts without causing more administrative work that takes away from focusing on growth.

What to consider when creating a 401(k) plan

When developing a plan, evaluating the expenses associated with each feature or requirement you elect is important in order to ensure you and your employees find an affordable option. Budget for startup costs, employer contributions such as a match or profit-sharing, and plan administration fees. You may have higher or lower costs based on the specific needs of your business, which can include the number of participants, turnover rates and average balances.

A banking partner experienced in benefit plan administration and financial planning can help you understand the newly offered tax credit for small employer pension plan startup costs from the IRS, which can cover up to $5,000 per year, for three years.