As 2014 comes to an end and 2015 beginning, there are a few changes in store for employers and employees. The base earnings for Federal Insurance Contributions Act (FICA) and State Disability Insurance (SDI) are going up. You can see the changes on the chart below. Employees will see a slight increase in their pay checks in 2015 as the SDI rate is going from 1% to .9%. The contribution for 401K has also increased to $18,000 for 2015 with the catch up contribution going to $6,000. This is a great time to think of saving plans for your future.
Although, 401(k) retirement savings has had an increase in confidence in the past few years, 401(k) retirement savings participation, it is a continuous commitment. On average, Americans will spend about 20 years in retirement; will these be golden years for you? We will discuss some reasons why having a 401(k) or IRA is important now and for the future you.
MMC 401 k benefits- Plan today, save for tomorrow
As a valued MMC client your company has a great opportunity to establish a 401 k at a fraction of the cost than if your firm were to sponsor it alone. What is so unique about the MMC plan? The MMC 401 k is a multi-employer plan which allows MMC clients the ability to leverage over $25 million in collective assets. This translates to tremendous volume discounts for all who are in the plan. In a retail 401 k plan you would be paying somewhere between $1500-2500 in set up costs. This is in addition to a $1500-$3000 annual base fee and $25-30 per head charge on an ongoing annual basis. The MMC plan because of its size is able to provide a premier 401 k plan with significant cost savings to all participating MMC clients. As a standard adopter of the plan, there is no set up charge and flat fee of $235 a year.