Retirement
Cash Balance Plans
A retirement plan design that can allow substantially larger tax-deductible contributions than a 401(k) alone — built for high-income business owners.
Larger deductible contributions
A cash balance plan can allow contributions well beyond a 401(k) alone — often $100,000 to $300,000+ per year for owners in their 50s and 60s, depending on age and compensation.
Defined, professionally designed benefit
Each participant has a hypothetical account that grows with a stated interest credit. The plan is designed to meet strict IRS contribution rules, with contribution levels tested annually.
Works alongside your 401(k)
A cash balance plan is commonly paired with a 401(k) and profit sharing plan in a combination design, so owners and staff are covered under one coordinated structure.
Who it tends to fit
- Consistently high business income you don't need to spend this year
- Age roughly 45 or older, when allowable contributions are largest
- A stable enough business to fund the plan for several years
- An interest in reducing current taxable income, not just saving
Cash balance plans are designed and administered by Retirement Administration, Inc., which has provided retirement-plan design, professional plan design and compliance services since 1978. Technology identifies potential opportunities — professionals evaluate applicability and implementation.
See what a cash balance plan could allow for you
Answer five quick questions and the calculator will estimate your potential contribution range and current-year tax impact — before you share your email.