Charlotte, NC (PRWEB) February 17, 2014
Hobart Financial Group, a leading RIA firm, details how self-employed small business owners can create dependable retirement plans.
According to a February 7th Fox Business article titled “Pension Pan For Your Small Business,” American workers are headed toward a retirement crisis. Most workers wait to begin retirement planning or neglect to prepare at all. However, there are a few different ways small business owners can plan for retirement, including a self-employed 401(k) plan. Also known as a solo 401 (k) or individual 401(k) plan, this type of retirement plan is designed for businesses with only one employee—the owner.
Typically, these plans help small business owners that need to shield small amounts of income from taxation.
For example, the article says, “It would work in situations where the business owner may be operating the business as a side-line and earns the greater portion of his income working as a wage-earner in a firm that has no retirement plan in place.”
Chris Hobart, CEO of Hobart Financial Group, a leading RIA firm in North Carolina, says planning a retirement is just as important for entrepreneurs as mapping out a business plan. “The reality is, many entrepreneurs and self-employed workers are in denial about retirement,” he says. “It’s important to ensure that the owners have funds to fall back on if, and when, they decide to leave the business. In the next 20 or 30 years, the article says the Social Security situation may not even exist. It is imperative for small business owners to ensure that they have dependable, spendable income before they leave the company. These plans offer lower fees and are not subjected to nondiscrimination rules required by other 401(k) plans.”
Hobart Financial Group is an independent financial advisory firm dedicated to personalizing service with uncompromising integrity. Its focus on comprehensive, tax-advantaged plans help to provide sound preservation of capital, growing income and increased returns with reduced risk. Chris Hobart, founder of Hobart Financial Group, understands that true wealth means being able to share your life with the people you love, free from financial anxiety. Hobart Financial helps Carolinas’ retirees preserve and protect their wealth with comprehensive financial retirement planning and wealth management.