Does Your 401(k) Plan Need a Safe Harbor for the Coming Year?

Nobody likes getting slapped with a penalty by the IRS for any reason, let alone for missing the mark on a retirement plan intended to be a benefit. Ideally, your third party administrator will sound the alarm if you are drifting in that direction, in time for you to make necessary adjustments. But if your business is close to the edge and don't want to risk hitting an iceberg, you can adopt one of two safe harbor plan designs to help avoid penalties. Here's how it works. If your company flunks one or more of the tests related to your retirement plan, you could indeed be charged a hefty penalty. Keep reading and learn more…