Jhagan
Sep 8 2000, 12:19 PM
Which type of plan do you use if the employer wants to offer only voluntary pre-tax employee contributions - no employer contributions. Very small employer.
Gary Lesser
Sep 11 2000, 01:43 PM
A traditional 401(k) plan could be used if NOT top heavy. If the employer would contribute 3 percent (in some years 2 percent) then a SIMPLE might work well. In fact the cost of maintaining the 401(k) plan might exceeed the cost of employer contributions under the SIMPLE!!