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Easiest Retirement Plan To Set Up For 2-4 Man Opperation

 
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Old 11-15-2016, 09:51 AM   #1
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Easiest Retirement Plan To Set Up For 2-4 Man Opperation


My own retirement plan revolves more around owning my house in my 30s and then adding investment property. However, I shouldn't put all my eggs in one basket, and I want to be competitive as an employer.

Any suggestions? I'd like the LLC to match 4% of employee contributions, so if there is an option that is tax beneficial with this, I'd be interested.
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Old 11-15-2016, 10:27 AM   #2
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


I think 3 percent would be competitive.

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Old 11-15-2016, 01:35 PM   #3
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


I think you mean you want to match dollar for dollar the employee contribution capped at 4%. Three percent is competitive in construction. Is this for your employees, of you as an employee of your LLC? It will matter for what types of funds you can get into.
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Old 11-15-2016, 01:40 PM   #4
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Your best bet would be a Simple IRA. I have ours set up through Fidelity. I would recommend them or Vanguard. You can read about it at the links below.

https://www.fidelity.com/retirement-...g&gclsrc=aw.ds

https://investor.vanguard.com/what-w...=1&cmpgn=PS:RE

https://www.irs.gov/retirement-plans...imple-ira-plan
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Old 11-15-2016, 03:31 PM   #5
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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I think you mean you want to match dollar for dollar the employee contribution capped at 4%. Three percent is competitive in construction. Is this for your employees, of you as an employee of your LLC? It will matter for what types of funds you can get into.
Correct, I want to match up to 4%. But I'll consider 3.
This is for my employees plus me as an employee.

Thanks.
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Old 11-15-2016, 04:36 PM   #6
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


I would set up an ira through vanguard....large reputable company with a good track record. I have an account set up with them and its easy to open up


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Old 11-15-2016, 05:46 PM   #7
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


We used to have a 401k that was run through our HBA. They ended it after two years due to high cost of the fees and compliance. Since then we have not set up anything. Through my Finance guy, I also heard that having them set up their own plans and me contributing to that would be the most cost effective.
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Old 11-15-2016, 09:35 PM   #8
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Simple IRA with 3% match is what we use. Franklin Templeton

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Old 11-15-2016, 09:41 PM   #9
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


I don't know, but I don't like thinking of your home as a significant part of a retirement plan.
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Old 11-15-2016, 09:47 PM   #10
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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I don't know, but I don't like thinking of your home as a significant part of a retirement plan.
? Pay your house off with 20 -30 of your best years of earning power left doesn't make sense? Just putting the mortgage away alone would be healthy sum of reasonably invested.
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Old 11-15-2016, 10:00 PM   #11
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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? Pay your house off with 20 -30 of your best years of earning power left doesn't make sense? Just putting the mortgage away alone would be healthy sum of reasonably invested.
Agreed. The house itself is just a place for you and your family to live. The fact that it's paid off frees up a large percentage of income which can then be invested. If you can plow $2k/month into and IRA in your 30s, you will be a multi millionaire in your 60s.
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Old 11-15-2016, 10:13 PM   #12
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Quote:
Originally Posted by Jaws View Post
? Pay your house off with 20 -30 of your best years of earning power left doesn't make sense? Just putting the mortgage away alone would be healthy sum of reasonably invested.
Quote:
Originally Posted by EricBrancard View Post
Agreed. The house itself is just a place for you and your family to live. The fact that it's paid off frees up a large percentage of income which can then be invested. If you can plow $2k/month into and IRA in your 30s, you will be a multi millionaire in your 60s.
You guys are sort of right....

With your house paid off that is a serious chunk of monthly expenditure that you don't have to make in lean times.

or good times, which frees up more $$$ to invest.

If you have a family it is proper to have a permanent residence.
Makes the Mrs. feel secure.....

Makes it easier to survive and is generally readily converted to cash if need be.....
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Old 11-15-2016, 10:30 PM   #13
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Quote:
Originally Posted by griz View Post
You guys are sort of right....



With your house paid off that is a serious chunk of monthly expenditure that you don't have to make in lean times.



or good times, which frees up more $$$ to invest.



If you have a family it is proper to have a permanent residence.

Makes the Mrs. feel secure.....



Makes it easier to survive and is generally readily converted to cash if need be.....


Yes it frees up money by not being burden by a monthly payment however remember that by aggressively paying into the mortgage instead of retirement you are also losing out on compounding interest in your retirement account. You have to "prepay" retirement money in your earning years since once you actually retire you wont have an income...


Its wise to balance paying off the mortgage and funding retirement accounts

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Old 11-15-2016, 10:43 PM   #14
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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Originally Posted by Windycity View Post
Yes it frees up money by not being burden by a monthly payment however remember that by aggressively paying into the mortgage instead of retirement you are also losing out on compounding interest in your retirement account. You have to "prepay" retirement money in your earning years since once you actually retire you wont have an income...


Its wise to balance paying off the mortgage and funding retirement accounts

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I'll take my house paid off first, before any other investments, compounding etc.....

Just old school I guess, first of the month don't give a rats ass about compounding or investing....neither do the supply houses or your overhead and labor....

And my wife don't give a rats ass about any of the compounding or investing either....YOU tell her we are moving oiut and she can't her gourmet kitchen cuz something didn;t compound right.....
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Old 11-15-2016, 10:48 PM   #15
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Quote:
Originally Posted by Windycity View Post
Yes it frees up money by not being burden by a monthly payment however remember that by aggressively paying into the mortgage instead of retirement you are also losing out on compounding interest in your retirement account. You have to "prepay" retirement money in your earning years since once you actually retire you wont have an income...


Its wise to balance paying off the mortgage and funding retirement accounts

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This is all true, but like most people I make investments partially based on peace of mind and gut feeling, rather than what is empirically the best.

I am in a business that can be feast or famine, so owning the home early means I might live through a bad slow time and not have to take a penalty on early retirement withdrawal.

There really are a lot of factors so there is no universal advice.
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Old 11-15-2016, 10:50 PM   #16
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Buy junk silver and keep it in your backyard....

a little hard gold won't hurt either.....
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Old 11-15-2016, 10:57 PM   #17
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Any more consensus on the original question? Fidelity or Vanguard?

I have previous retirement accounts with Ameritrade and Schwab. I should try to figure out how to consolidate. One was a SEP and one was a Simple, both before I worked for myself.
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Old 11-15-2016, 11:01 PM   #18
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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Any more consensus on the original question? Fidelity or Vanguard?

I have previous retirement accounts with Ameritrade and Schwab. I should try to figure out how to consolidate. One was a SEP and one was a Simple, both before I worked for myself.
You are asking Chevy, Dodge or Ford.....

I know guys that have Fidelity, Vanguard, T. Rowe, Edward Jones etc. and all are happy with their accounts.....
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Old 11-15-2016, 11:09 PM   #19
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


Quote:
Originally Posted by griz View Post
Buy junk silver and keep it in your backyard....

a little hard gold won't hurt either.....
I always forget where it is...
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Old 11-15-2016, 11:12 PM   #20
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Re: Easiest Retirement Plan To Set Up For 2-4 Man Opperation


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I always forget where it is...

Stop it.....

you ain't that old.....

put a flower over it....or a sign....

better yet....draw a treasure map....

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