U.S. Department of Labor
Small Business Retirement Savings Advisor
401(k) Plans are defined contribution plans funded primarily by the pre-tax contributions of employees. These plans, named for the section of the Internal Revenue Code that establishes this type of retirement plan, allow employees to save part of their salaries and defer paying taxes until they receive the money. Employers can match the contributions, which are also tax deferred.
Safe Harbor 401(k) Plans are similar to traditional 401(k) Plans and are defined contribution plans funded by the pre-tax contributions of employees. In the Safe Harbor 401(k) plans, however, employers are required to make a minimum amount of contributions, and are not required to undergo nondiscrimination tests required under traditional 401(k) tests.
- I would like to learn more about this program (PDF). After you have reviewed information about your current program, please use the Back button to return to the Advisor.
- I would like to consider other retirement savings programs.
Please return to the Main Menu for more information on small business retirement savings.
